9. = Consider a construction project for which the target estimate is $3,000,000. The contract is a guaranteed maximum price contract (GMP including fee $3,480,000), stipulating that the contractor will get 60% of cost savings below the target estimate. The contractor's fixed fee is $300,000. a. What is the contractor's gross profit (fee + any bonus) if actual cost exceeds target by 2%? b. What is the contractor's gross profit if actual cost (excluding contractor's fee) is $2,850,000? C. The same as (b) except that the contract allows an incentive bonus for early completion and a penalty for late completion. The bonus/penalty is $2,000/day. The project is completed 20 days ahead of schedule. Find the contractor's profit and the owner's actual payment under these conditions. d. What are the owner's payment and the contractor's profit if the contract's actual costs (excluding fee) is $3,300,000? Assume that this cost includes change orders worth $120,000. According to the contract, the contractor will not be compensated for the first $75,000 of change orders.