WBS Element Planned Value
(PV)
Earned Value
(EV)
Actual Cost
(AC)
2.01 Airframe
48000
48000
50000
2.02 Engines
22000
21000
23000
2.03 Avionics
80000
60000
45000
2.04 Communications
30000
30000
30000
2.05 Tech. Manuals
42000
42000
48000
2.06 Spares
40000
35000
42000
2.07 Training
80000
80000
86000
Project Total
342000
316000
324000

Figure 14.1 Drug Surveillance Aircraft Project - Monthly Performance Report
(October 31, 20XX)

Consider the project performance report presented in figure 14.1. As a project manager, these results should lead you to...
Select one:
a. notify the project owner that you will not require all of the funding currently budgeted for this project.
b. take actions to understand and remedy the schedule performance on the active training work packages.
c. take actions to understand and resolve budgetary overruns on the active communications work packages.
d. take actions to understand and remedy the schedule performance on the active avionics work packages.

Upscale hotels in the united states recently cut their prices by 20 percent in an effort to bolster dwindling occupancy rates among business travelers. a survey performed by a major research organization indicated that businesses are wary of current economic conditions and are now resorting to electronic media, such as the internet and the telephone, to transact business. assume a company's budget permits it to spend $5,000 per month on either business travel or electronic media to transact business. graphically illustrate how a 20 percent decline in the price of business travel would impact this company's budget set if the price of business travel was initially $1,000 per trip and the price of electronic media was $500 per hour. suppose that, after the price of business travel drops, the company issues a report indicating that its marginal rate of substitution between electronic media and business travel is 1. is the company allocating resources efficiently? explain.

In which job role will you be creating e-papers, newsletters, and periodicals?

Blue computers, a major pc manufacturer in the united states, currently has plants in kentucky and pennsylvania. the kentucky plant has a capacity of 1 million units a year and the pennsylvania plant has a capacity of 1.5 million units a year. the firm divides the united states into five markets: northeast, southeast, midwest, south, and west. each pc sells for $1,000. the firm anticipates a 50 perc~nt growth in demand (in each region) this year (after which demand will stabilize) and wants to build a plant with a capacity of 1.5 million units per year to accommodate the growth. potential sites being considered are in north carolina and california. currently the firm pays federal, state, and local taxes on the income from each plant. federal taxes are 20 percent of income, and all state and local taxes are 7 percent of income in each state. north carolina has offered to reduce taxes for the next 10 years from 7 percent to 2 percent. blue computers would like to take the tax break into consideration when planning its network. consider income over the next 10 years in your analysis. assume that all costs remain unchanged over the 10 years. use a discount factor of 0.1 for your analysis. annual fixed costs, production and shipping costs per unit, and current regional demand (before the 50 percent growth) are shown in table 5-13. (a) if blue computers sets an objective of minimizing total fixed and variable costs, where should they build the new plant? how should the network be structured? (b) if blue computers sets an objective of maximizing after-tax profits, where should they build the new plant? how should the network be structured? variable production and shipping cost ($/unit) annual fixed cost northeast southeast midwest south west (million$) kentucky 185 180 175 175 200 150 pennsylvania 170 190 180 200 220 200 n. carolina 180 180 185 185 215 150 california 220 220 195 195 175 150 demand ('000 units/month) 700 400 400 300 600