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4-2 Assignment

4-2 Assignment

Overview: For this assignment, you will continue to build on your Labor Hours spreadsheet to examine the actual costs of a business project.

Prompt: Using the Labor Hours spreadsheet, expand the table in the Data tab to capture the actual cost of this project by performing the following steps:

1. Total the complete labor cost.

a) Add a column that totals the labor for each employee, given the added criteria. (See the last two bullets in the scenario box below.)

b) Total the complete labor cost.

2. Think about what additional costs would contribute to the overall cost of the project.

a) Below is a list to consider. Add additional columns to capture these costs. (Note: Not all of these should be included; read each bullet carefully.)

i. The project is located 30 miles from the office, and the company pays the employees .54¢ per mile to travel to the worksite and back.

ii. You are using $1,000 in materials left over from another project.

iii. Because the worksite is in a remote location, a portable office with restrooms had to be leased at a cost of $300 per day.

iv. At the cost of $350 per employee, the company provides all employees with uniforms and safety equipment. This equipment is replaced on a yearly basis.

v. The company pays for a $60 food platter to be delivered to the site every day to feed all of the workers.

vi. Fuel to run the generator in the portable office costs $10 per day and is included in the lease agreement.

vii. A security service had to be contracted by the company to safeguard the worksite 24 hours a day at the cost of $720 per day.

b) Total the entire project cost.

3. Create a new tab titled Actual.

Provide a summary statement that recommends reducing costs without lowering labor rates.

Scenario You are examining labor costs for a construction project using eight employees:

 The eight employees’ names are: Smith, Rodriquez, Daniel, Eli, Lee, Kim, Buster, and Green.

 Each employee worked eight hours a day for five days.

 The employees’ wages per hour are as follows:

o Smith: $8.95

o Rodriguez: $11

o Daniel: $14

o Eli: $16

o Lee: $19

o Kim: $20

o Buster: $2

o Green: $40

 Green, Kim, Eli, and Lee are full-time employees, and the others are contract employees.

 The cost of overhead per hour for a full-time employee is 40% of their hourly rate.

 The cost of overhead per hour for a contract employee is 20% of their hourly rate.

Rubric Guidelines for Submission: Your assignment must be submitted as the same Microsoft Excel document you used for the Module One and Two assignments. Use 11-point Calibri font

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