Project Earned Value Analysis and Scheduling, Exams of Microeconomics

Solutions to exam #2 for a ce 167 class focusing on project management. It includes evaluating a project's earned value status, analyzing activity schedules, and understanding cardinal changes and force account. The document also covers concepts like type i and type ii differing site conditions and maslow's hierarchy of needs.

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2012/2013

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CE 167 Exam #2
Fall 2003
Prof. C.W. Ibbs
Directions:
Put your name on this exam.
This exam is to be completed on these pages – answers not
recorded in this exam will not be graded.
Read the question thoroughly before answering. Point totals for
each question are listed.
Write legibly and express yourself logically. Write short, concise
answers.
Question #1 [30 points]
Using the data below, evaluate this project’s earned value status as of the
beginning of day 13 and the beginning of day 22. Depict the project status
graphically. How is this project trending? Do you think the project will finish on
budget? Discuss your analysis. All dates represent the beginning of the day.
Planned Dates Activity Start Finish
Total Cost Budgeted Unit
Cost
A 1 12 $11,000 $1,000/day
B 8 18 $15,000 $1,500/day
C 10 25 $28,000 $2,000/day
D 12 28 $32,000 $2,000/day
Total 1 28 $86,000
As of Beginning of Day 13:
Actual or Forecasted* Dates
Activity Start Finish
Actual Cost
Spent-to-Date % Complete
A 1 9 $8,000 100%
B 8 14* $21,000 90%
C 12 26* $20,000 50%
D 15* 28* $0 0%
Total 1 28* $49,000
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CE 167 Exam # Fall 2003 Prof. C.W. Ibbs

Directions:

  • Put your name on this exam.
  • This exam is to be completed on these pages – answers not recorded in this exam will not be graded.
  • Read the question thoroughly before answering. Point totals for each question are listed.
  • Write legibly and express yourself logically. Write short, concise answers.

Question #1 [30 points]

Using the data below, evaluate this project’s earned value status as of the beginning of day 13 and the beginning of day 22. Depict the project status graphically. How is this project trending? Do you think the project will finish on budget? Discuss your analysis. All dates represent the beginning of the day.

Activity Planned Dates Start Finish

Total Cost Budgeted Unit Cost A 1 12 $11,000 $1,000/day B 8 18 $15,000 $1,500/day C 10 25 $28,000 $2,000/day D 12 28 $32,000 $2,000/day Total 1 28 $86,

As of Beginning of Day 13:

Activity Actual or Forecasted* Dates Start Finish

Actual Cost Spent-to-Date

% Complete

A 1 9 $8,000 100% B 8 14* $21,000 90% C 12 26* $20,000 50% D 15* 28* $0 0% Total 1 28* $49,

As of Beginning of Day 22:

Activity Actual or Forecasted* Dates Start Finish

Actual Cost Spent-to-Date

% Complete

A 1 9 $8,000 100%

B 8 15 $22,000 100%

C 12 26* $20,000 90%

D 15 27* $26,000 80%

Total 1 27* $76,

Solution

As of Beginning of Day 13:

Activity BCWS ACWP BCWP SV CV A $11,000 $8,000 $11,000 $0 $3, B $7,500 $21,000 $13,500 $6,000 -$7, C $6,000 $20,000 $14,000 $8,000 -$6, D $2,000 $0 $0 -$2,000 $ Total $26,500 $49,000 $38,500 $12,000 -$10,

CPI 13 = BCWP/ACWP = $38,500/$49,000 = 0.79 < 1 (over budget)

SPI 13 = BCWP/BCWS = $38,500/$26,500 = 1.45 > 1 (ahead of schedule)

As of Beginning of Day 22:

Activity BCWS ACWP BCWP SV CV A $11,000 $8,000 $11,000 $0 $3, B $15,000 $22,000 $15,000 $0 -$7, C $24,000 $20,000 $25,200 $1,200 $5, D $20,000 $26,000 $25,600 $5,600 -$ Total $70,000 $76,000 $76,800 $16,800 $

CPI 22 = BCWP 22 /ACWP 22 = $76,800/$76,000 = 1.01 (approx. on budget)

SPI 22 = (BCWP 25 / BCWS 22 ) $76,800/$70,000 = 1.10 (slightly ahead of schedule)

Question #2 [30 points total – 15 points for each part]

a) For the following activities, find the early start, early finish, late start, late finish, total float and free float. Record your answers neatly in a table. Determine which activities are critical.

Activity Predecessor Duration A -- 2 B A 4 C A 5 D A 6 E D 2 F B, C 5 G E 6 H E 1 I F, G, H 2

b) Perform the same calculations as above, but add a finish-to-finish constraint of 10 (FF10) between Activities B and F, a start-to-start constraint of 4 (SS4) between Activities C and F, and a finish-to-start constraint of 2 (FS2) between activities E and H. Record your answers in a separate table. Do the two schedules differ, and if so, how? Be specific.

Question #3 [10 points]

What is a cardinal change? Why are cardinal changes illegal in public works projects? Can a contractor be properly forced to perform a cardinal change in private work?

According to Bartholomew (p. 208):

  • A cardinal change is a change to the contract that, because of its size or the nature of the changed work, is clearly beyond the general scope of the contract. It is beyond the reasonable contemplation of the owner and contractor at the time of contract formation. (4 points)
  • Additive cardinal changes are illegal on public contracts, even if the owner and contractor agree to the change, because such a large addition of work violates public bidding statutes guaranteeing free and open competition. (3 points)
  • Regarding private work, cardinal changes are not illegal and not improper if both the owner and contractor agree to the change. However, a cardinal change cannot be forced upon the contractor. (3 points)

Question #4 [5 points]

What is force account?

According to Bartholomew (p. 210):

Force account is a particular form of retrospective pricing in which the contract spells out a specific procedure for arriving at the price adjustment when the contractor and owner fail to agree on the price by forward pricing (forward pricing is when the owner and contractor agree on the price and time requirement for a change or additional work before starting the work required by the change).

Question #5 [10 points]

Briefly define and give an example of Type I and Type II differing site conditions (DSC).

  • Type I DSC refer to a physical condition encountered in the work of contract that differs materially from the conditions indicated in the contract documents. Examples include encountering different soils of water table elevating as those indicated in soil boring logs or finding adverse site conditions, such as bogs or creeks, not indicated on any site plans.
  • Type II DSCs are physical conditions that differ materially from conditions normally expected in the type of construction work in the contract involved. Examples include soil and rock that, while correctly identified on boring logs, impedes construction by prematurely wearing out construction tools, like ripper teeth or tunnel boring machine cutter disks.

Question #6 [5 points]

List the five levels of Maslow’s Hierarch of Needs.

From lowest to highest:

  • Physiological
  • Safety
  • Love
  • Esteem
  • Self-Actualization