Will agrees to pay $30,000 for shearing 24,000 trees. What is his cost per tree? Note that cost as it will be useful for later in the problem.
The calculation of the partial payment is based upon 6,000 trees out of a total of 24,000 trees in the field (6/24 = 25%). The 25% is only used to calculate the partial payment of $7,500. It is not used in any other calculations. An estimate of percent complete is needed in terms of trees and money. Will budgeted 1000 trees per 5 days. However, 6,000 trees were sheared within 5 days. What is Will's Percent Complete (PC) at the end of 5 days (not the whole project time): PC=? To calculate, make a table of the Tree Baseline: Planned Value (PV) Columns = # of days, so you need 5 columns. 2 rows. Top row is number of tress planned to be cut each day. 2nd row is the Cumulative number of tress planned to be cut each day. Your chart needs to be for 5 days, at 1,000 trees per day, with a cumulative total of 5,000 trees. PC complete s/b 6000 trees/5 days = 1.20%. So, 120% or 1.20% is your EV (earned value). Your AC (from AV) = 5000 trees. Then proceed to complete the rest of the formulas. What is Will's Cost (tree) Variance: CV=? CV=EV - AC EV= % complete x planned value CV = EV - Actual $ What is Will's Schedule (tree) Variance: SV=EV-PV EV = Percent of Expected x Expected SV = Actual - Expected = The number he is ahead or behind What is the value, in $, of the number of trees he is ahead or behind? Not showing your calculations may cost you points.