A construction company evaluates its project costs for three different types of costs over four months Month Projects Completed Total Cost R Cost per Project R Total Cost S Cost per Project S Total Cost T Cost per Project T 1 5 $2,500 $3,500 $4,000 2 10 $2,500 $4,500 $8,000 3 3 $2,500 $2,200 $2,400 4 8 $2,500 $4,200 $6,400 Required a Calculate the cost per project for each cost b Classify each cost as fixed, variable, or mixed c Discuss the effects of each cost behavior on project cost estimation d Evaluate how understanding cost behavior can improve project bidding e Suggest measures to optimize cost management for future projects

Question: A construction company evaluates its project costs for three different types of costs over four months. Month Projects Completed Total Cost R Cost per Project

A construction company evaluates its project costs for three different types of costs over four months.

Month	Projects Completed	Total Cost R	Total Cost S	Total Cost T
1	5	$2,500	$3,500	$4,000
2	10	$2,500	$4,500	$8,000
3	3	$2,500	$2,200	$2,400
4	8	$2,500	$4,200	$6,400

Required: a. Calculate the cost per project for each cost. b. Classify each cost as fixed, variable, or mixed. c. Discuss the effects of each cost behavior on project cost estimation. d. Evaluate how understanding cost behavior can improve project bidding. e. Suggest measures to optimize cost management for future projects.

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Part a Calculate the cost per project for each cost Lets calculate the cost per project for each project type R S and T Month Projects Completed Total Cost R Cost per Project R Total Cost S Cost per P... View full answer

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