The book is Successful Project Management (7th edition) undefined

CASE STUDY 1 A Not-for-Profit Medical Research Center This case study is a continuation of the case study from Chapters 4, 5, and 6. CASE QUESTIONS 1. Using the schedule from Chapter 5, estimate the cost for each activity. 2. Determine the total budgeted cost for the project. 3. Prepare a budgeted cost by period table (similar to Figure 7.5) and a cumu- lative budgeted cost (CBC) curve (similar to Figure 7.6) for the project. Note: This case study will continue in Chapter 8, so save the results of your work GROUP ACTIVITY Divide the course participants into the same groups as for the previous chapter's group activity. Then address each of the steps listed above. 250 Pring Peforming and riding the Prelect FIGURE 7.5 Budgeted Cost by Period for the Packaging Media Project Week 3 4 2 5 7 9 10 TI TBC 1 72 244 B 8 Design Build 60 8 812 12 TO 10 Install & Test 16 8 8 Total 1004 4 8 8 12 12 10 TO 8 92 100 Cumulative 16 24 32 40 52 54 74 Amounts are in thousands of dollars shown in Figure 7.3. Also shown is the period-by period budgeted cost for the entire project, as well as its CBC Figure 7.5 indicates that $32,000 is budgeted to accomplish the work that is scheduled to be performed through week 5. The per- hods over which budgeted costs are spread usually are determined by the earliest start and finish times for the activities in the baseline project schedule (adjusted to take into account resource leveling or resource limited scheduling) With the CBC values, it is possible to draw a CBC curve to illustrate budgeted expenditures over the duration of the project. Figure 7.6 shows the CBC curve for the packaging machine project. Although the table in Figure 75 and the FIGURE 7.6 Cumulathe Budgeted Cou Care for the Padaling Machine Project Cumulative Budgeted Cost (5 in thousands) 100 90 80 Budgeted 70 60 50 $ 30 20 10 6 2 8 5 10 11 12