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scoundrel [369]
3 years ago
8

A general contractor is managing a construction project that will add a new conference room to an existing office building. The

project was documented in a fixed-price contract that specified a completion date. The contract includes a damages clause imposing a late completion penalty if the conference room is not ready for use by the due date. One month into the implementation, the customer wants to modify the room's lighting equipment. The requested change will delay the project's critical path by three months.
Business
1 answer:
professor190 [17]3 years ago
6 0

Answer:

A) Using a change management system to influence performance

Explanation:

First of all, since the change was proposed by the customer, any delay in the construction project caused by their new request should not trigger the damage clause.

The contractor should use a change management system so the existing baseline is not altered by the delay. A change management system is responsible for managing all the changes that might occur during the project's inception until its completion. It is important that all changes or alterations to the original schedule are properly recorded and authorized (in this case to prevent the damage clause).

By using the change management system, the organization has a standardized methodology for handling changes in the project's schedule. This way any negative impact can be reduced.

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Problems and Applications
SSSSS [86.1K]

Answer and Explanation:

The calculations are shown below:

1) 4 is choosen because the marginal utility should be less than the marginial cost and if he choose beyong this point, the cost of the drink is more than the willingness to pay

2) The consumer surplus is  

= (5 - 1.5) + (4 - 1.5) + (3 - 1.5) + (2 - 1.5)

= 8

3) Total surplus decreases to

= Consumer surplus - external cost

= 8 - 4

= 4

4) Cindy's Consumer surplus is  

= (5 - 1.5) + (4 - 1.5) + (3 - 1.5)

= 7.5

5) Increases

6) 8 - 7.5 = 0.5

7) Consumption = 3 bottles

8) Consumer surplus is

= (5 - 2.5) + (4 - 2.5) + (3 - 2.5)

= 4.5

9) External cost = 3  × 1 = 3 bottle

10) Government revenue  = 3  × 1 = 3 bottle

11) Total surplus is

= Consumer surplus - external cost + government revenue

= 4.5 - 3 + 3

= 4.5

12) would

13) increases

7 0
3 years ago
Jones Company issued $500,000 of 5%, 10-year bonds payable at a price of 92. The market interest rate on the date of issuance wa
Daniel [21]

Answer:

Date                     Account Title                                       Debit              Credit

XX-XX-XXXX       Interest expense                               $13,800

                            Discount on bond payable                                        $1,300

                            Cash                                                                           $12,500

Working      

The bonds were issued at a price of 92 which means they were issued at:

= 500,000 * 96/100

= $460,000

Interest expense

= Issue price * interest rate * 6/12 months

= 460,000 * 6% * 6/12

= $13,800

Cash:

= Bond price * coupon rate * 6/12

= 500,000 * 5% * 6/12

= $12,500

5 0
3 years ago
Roosevelt Corporation has a weighted-average unit contribution margin of $30 for its two products, Standard and Supreme. Expecte
yanalaym [24]

Answer:

D. 24,000

Explanation:

Calculation to determine How many Standards would Roosevelt sell at the break-even point

First step

Total sales = 40000 + 60000

Total sales= 100000 units

Second step

Standard = 40000 / 100000

Standard= 0.4

Third step

Supreme = 60000 / 100000

Supreme= 0.6

Fourth step

Overall break even in units = 1800000 / 30

Overall break even in units= 60000 units

Now let calculate the Standards sales at break even point

Standards sales at break even point = 60000 *

0.4

Standards sales at break even point =24000 units

Therefore the Standards sales at break even point is 24000 units

4 0
3 years ago
Gatwick Ltd. has after tax profits (net income) of $500,000 and no debt. The owners have a $6 million investment in the business
Ugo [173]

Answer:

Return on equity would increase from 8.33%  to 9.50%

Explanation:

The tax rate of 40% is missing from the question.

Return on equity prior to share repurchase=$500,000/$6,000,000

Return on equity prior to share repurchase=8.33%

With the issue of debt finance of $2,000,000, the after-tax interest expense is computed thus:

after-tax interest expense=$2,000,000*10%*(1-40%)=120000

adjusted net income=$500,000-$120,000=$380,000

new common stock=$6,000,000-$2,000,000=$4,000,000

adjusted return on equity=$380,000/$4,000,000=9.50%

8 0
3 years ago
5. Jerry lost her credit card and instead of reporting it right away, she decides to continue looking for it for a couple of day
Savatey [412]
She would have to pay nothing because it was stolen
6 0
3 years ago
Read 2 more answers
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