Breakdown structure and the project schedule


Need help on at least a 200 word response for each following question.

Question 1. Why is cost estimation such an important component of project planning? Discuss how it links together with the Work Breakdown Structure and the project schedule.

Question 2. Would you prefer to use the bottom-up or top-down budgeting project cost control? What are the advantages and disadvantages associated with each approach?

Question 3. Calculate the direct cost of labor for the project team using the following data. What are the costs for the individual project team members? What is the overall direct cost of labor?

Name         Hours    Overhead     Personal     Hourly     Total Direct
                Needed    charge        Time rate     rate       Labor Cost

Jonathan       40       1.25         1.12        $15/hr
Susan         100       1.75         1.12        $21/hr
Debra          80       1.35         0           $11/hr
Bobby          55       1.80         1.13        $44/hr

Question 4. Calculate the direct cost of labor for a project team member using the following data:

Hourly rate: $65/hour, Hours needed: 160, and Overhead rate: 45%

Question 5. Assume that overhead is charged on a flat rate basis. Each member of the project is assigned an overhead charge of $300/week. What would be the direct cost of labor for an employee, given that she is assigned to the project for 120 hours at $10.50?

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Project Management: Breakdown structure and the project schedule
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