3. Project Control: The budget S-curve for a small project is shown: (a) Calculate and draw the S-curve of expenses against the expected owner payments; (b) Estimate the amount of interest chargeable on borrowed money and the overdraft limit needed. Markup is 10%; Owner retention is 5% (payable with last payment); Owner payment delay is 1 month; Interest rate is 12% per annum. $54,000 $40,000 $29,000 $86,000 $127,000 $112,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Project Control: The budget S-curve for a small project is shown: (a) Calculate and draw the S-curve of expenses against the expected owner payments; (b) Estimate the amount of interest chargeable on borrowed money and the overdraft limit needed. Markup is 10%; Owner retention is 5% (payable with last payment); Owner payment delay is 1 month; Interest rate is 12% per annum.
3. Project Control:
The budget S-curve for a small project
is shown:
(a) Calculate and draw the S-curve of
expenses against the expected
owner payments;
(b) Estimate the amount of interest
chargeable on borrowed money and
the overdraft limit needed. Markup
is 10%; Owner retention is 5%
(payable with last payment); Owner
payment delay is 1 month; Interest
rate is 12% per annum.
$54,000
$40,000
$29,000
$86,000
$127,000
$112,000
Transcribed Image Text:3. Project Control: The budget S-curve for a small project is shown: (a) Calculate and draw the S-curve of expenses against the expected owner payments; (b) Estimate the amount of interest chargeable on borrowed money and the overdraft limit needed. Markup is 10%; Owner retention is 5% (payable with last payment); Owner payment delay is 1 month; Interest rate is 12% per annum. $54,000 $40,000 $29,000 $86,000 $127,000 $112,000
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