Q2. Organizing and Presenting Project Data One may organize cost data and their distribution among stakeholders...

 

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Q2. Organizing and Presenting Project Data One may organize cost data and their distribution among stakeholders in various ways to assess overall project viability, and cost distribution to analyse the project's attractiveness to various stakeholders. One approach to organizing such data is to identify the various categories for the project inputs in column (1), then show the total value of each input in column (2) and use subsequent columns to show the various stakeholders' contribution. Similar to the case we did in class, consider the following project designed to train 100 low-income workers for a year. 3 Costs The sponsoring NGO spends GHS 200,000 on Rental of Premises a year, after Students and their Families have contributed labour to prepare the project site, thus lowering the rental costs by GHS 50,000. In addition, Students and their Families pay for the services of a part-time worker, valued at GHS 25,000 a year. The NGO pays GHS 225,000 as salaries of two full-time skilled staff. Further, a Private firm donates computers valued at GHS 20,000. The cost of material and supplies are an additional GHS 20,000, of which the sponsoring NGO bears GHS 8,000 and the rest are donated by a private entity. The sponsoring NGO bears half the costs of utilities; Government bears the other half. Total utilities are estimated at GHS 50,000. For the period they are in training, Students incur GHS 2,000 each in lost income and Government loses GHS 200 per student. Gains of the Project When students complete, they are expected to earn GHS 100 each per month more than they would otherwise have earned for 5 years and Government will earn GHS 30 extra from each of them as tax The opportunity cost of this project to Students and Government is 24% p.a. Questions i. Present the data in a tabular form for ease of analysis showing benefits and costs to each stakeholder and on Society. Consider all private sector contributions to the project as one stakeholder, called PRIVATE. ii. Calculate the proportion of total cost being borne by each stakeholder. iii. Do you advise that this Project be undertaken? Explain. Q2. Organizing and Presenting Project Data One may organize cost data and their distribution among stakeholders in various ways to assess overall project viability, and cost distribution to analyse the project's attractiveness to various stakeholders. One approach to organizing such data is to identify the various categories for the project inputs in column (1), then show the total value of each input in column (2) and use subsequent columns to show the various stakeholders' contribution. Similar to the case we did in class, consider the following project designed to train 100 low-income workers for a year. 3 Costs The sponsoring NGO spends GHS 200,000 on Rental of Premises a year, after Students and their Families have contributed labour to prepare the project site, thus lowering the rental costs by GHS 50,000. In addition, Students and their Families pay for the services of a part-time worker, valued at GHS 25,000 a year. The NGO pays GHS 225,000 as salaries of two full-time skilled staff. Further, a Private firm donates computers valued at GHS 20,000. The cost of material and supplies are an additional GHS 20,000, of which the sponsoring NGO bears GHS 8,000 and the rest are donated by a private entity. The sponsoring NGO bears half the costs of utilities; Government bears the other half. Total utilities are estimated at GHS 50,000. For the period they are in training, Students incur GHS 2,000 each in lost income and Government loses GHS 200 per student. Gains of the Project When students complete, they are expected to earn GHS 100 each per month more than they would otherwise have earned for 5 years and Government will earn GHS 30 extra from each of them as tax The opportunity cost of this project to Students and Government is 24% p.a. Questions i. Present the data in a tabular form for ease of analysis showing benefits and costs to each stakeholder and on Society. Consider all private sector contributions to the project as one stakeholder, called PRIVATE. ii. Calculate the proportion of total cost being borne by each stakeholder. iii. Do you advise that this Project be undertaken? Explain.

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1 Benefit Income Private Govt Student NGO Benefit Increased income 5 years of be... View the full answer