Develop a Project Budget
In Module 5, you used a work breakdown structure (WBS) as the basis for estimating project costs; that is, you identified only labor costs. In this application, you will prepare a budget that includes all costs (labor and non-labor costs).
Procedure
1.Review the details of your cost estimate from Module 5. For each element in the WBS, do the following:
?Identify non-labor costs. These may include-but are not limited to-materials, supplies, equipment, allowances for inflation, contingency funds, and so on.
?Find the totals of labor and non-labor costs. This is your Budgeted Cost of Work Scheduled (BCWS).
2.Add the results of Step 1. This is your Budget at Completion (BAC).
3.Prepare a graph that illustrates the project budget over time. This is the Cost Baseline.
4.Find the total of all labor and non-labor costs. This is your Budget at Completion (BAC).