The top management has accepted the July 19th completion schedule created at the end of Part 2. Prepare a brief memo that addresses the following questions:

1. How much will the project cost? What is the most expensive activity?

2. What does the cash flow statement tell you about how costs are distributed over the lifespan of the project?

w Clipboard Font Schedule Jan 8, 12 Jan 22, 12 Feb 5, 12 Feb 19, '12 Mar 4, '12 Schedule Schedule Tasks Insert Mar 18,12 Apr 1, 12 Apr 15, 12 Apr 29, 12 Add tasks with dates to the timeline Start Tue 1/3/12 Actual Cost Baseline Cost Remaining Cost Cost Variance $0.00 $0.00 $1,692,000.0 $1,692,000.0 CASH FLOW The chart shows the project's cumulative cost and the cost per quater To see the costs for a different time period, select the Edit option from the Field List 5800,000.00 $1,600,000.00 $700,000.00 $1,400,000.00 The table below shows cost information for all top-level tasks To see cost stats for all tasks, set the Outline Level in the Field List $600,000.00 $1,200,000.00 5500,000.00 $1,000,000.00 $800,000.00 $400,000.00 11 5300,000.00 $600,000.00 $200,000.00 $400,000.00 S200,000.00 $100,000.00 50.00 $0.00 1 2 3 Cost -Cumulative Cost Cost Actual Cost ACWP BCWP Name BCWS Remaining Cost $1.692.000.00 $0.00 $1.692.000.00 $0.00 $0.00 $0.00 1 POM+Proiect eady New Tasks: Manually Scheduled Type here to search BI 07 Start Tue 13/12 Add tasks with dates to the timelin Add News O 1 Fixed Cost Accrual Prorated Prorated Total Cost $1,692,000.00 $150,400.00 Baseline Variance $0.00 $1,692,000.00 $0.00 $150,400.00 Actual Remaining - $0.00 $1,692,000.00 $0.00 $150,400.00 2 3 Prorated $64,000.00 $0.00 $64,000.00 $0.00 $64,000.00 4 Prorated $0.00 $0.00 5 Prorated $57,600.00 $19,200.00 $9,600.00 $9,600.00 $0.00 $0.00 $0.00 $0.00 $57,600.00 $19,200.00 $9,600.00 $9,600.00 6 $57,600.00 $19,200.00 $9,600.00 $9,600.00 Prorated $0.00 $0.00 7 Prorated B Fixed Task Name Cost 1 1 POM+Project $0.00 - 1.1 1.1 R&D $0.00 product 1.1.1 1.1.1 $0.00 Need Survey 1.1.2 1.1.2 Set p $9,600.00) 1.1.3 1.1.3 Shelf $0.00 1.1.4 1.1.4 Nutri $0.00 1.2 1.2 Secure $0.00 fruit supplies 4 1.3 1.3 Initial $0.00 Production 1.3.1 1.3.1 Equip $0.00 1.3.2 1.3.2 Prodi $0.00 1.3.3 1.3.3 Quali $0.00 1.3.4 1.3.4 Quali $0.00 1.3.5 1.3.5 Quali $0.00 1.4 1.4 Distribution $0.00 1.4.1 1.4.1 $0.00 Marketing 1.4.2 1.4.2 Packa $0.00 1.4.3 1.4.3 $0.00 Prorated $998,400.00 $0.00 $998,400.00 $0.00 $998,400.00 0 Prorated Prorated Prorated 1 2 3 4 Prorated Prorated Prorated Prorated $528,000.00 $235,200.00 $86,400.00 $12,000.00 $136,800.00 $207,200.00 $96,000.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $528,000.00 $235,200.00 $86,400.00 $12,000.00 $136,800.00 $207,200.00 $96,000.00 $0.00 $528,000.00 $0.00 $235,200.00 $0.00 $86,400.00 $0.00 $12,000.00 $0.00 $136,800.00 $0.00 $207,200.00 $0.00 $96,000.00 5 5 Prorated Prorated $31,200.00 $80,000.00 $0.00 $0.00 $31,200.00 $80,000.00 $0.00 $0.00 $31,200.00 $80,000.00 7 New Tasks: Manually Scheduled Type here to search 5