Case Study
Exhibit 2 discloses that the difference of net income smaller projects gave much profit and less pain because of short duration. Consequently, on the analyses by Linda Evans discloses in Exhibit 2 that in the duration of Linda completed 20 larger while 100 smallest projects. Project revenue on larger projects was $1300000 instead of $1500000 on smaller projects. On the other hand, the expenditures of projects remained same while the project salaries was also equal. In exhibit 2, panel 2 B disclose that if both projects completed equally undoubtedly larger project’s income will high than smaller projects. The expenditures and salaries increased than smaller projects but after analyzing everything finally the results show that in the end with net income equality. In this way, the positive point is that high speed of work and done 100 smaller projects and it also gives high profit than larger project. So why, the smaller projects should start because smaller projects are reliable and profitable than high projects.
Exhibit 3 on overhead spending and activities disclose that the profitability of larger (20 projects) and smaller (100 projects) projects undertaken by Survey Masters in 2006. Cost of Capital is very important for the small business or projects because in the small projects there is no need for long term credit or debit. Smaller projects are much reliable than larger projects. There are two possibilities with overhead; 1) as a percentage of revenue 2) as a cost per unit of service. According to exhibit 3, Linda used as a cost per unit of service. Linda did total 160 trips survey proposed and design therein 50 trips for the 20 larger projects only while 110 trips for the 100 smaller projects. One complicated thing was data collection for smaller projects because smaller projects was more than larger so in this way analysis and report preparation was too difficult for smaller projects. According to exhibit 3, the statistics shows that 20 larger projects
Exhibit 3 on overhead spending and activities disclose that the profitability of larger (20 projects) and smaller (100 projects) projects undertaken by Survey Masters in 2006. Cost of Capital is very important for the small business or projects because in the small projects there is no need for long term credit or debit. Smaller projects are much reliable than larger projects. There are two possibilities with overhead; 1) as a percentage of revenue 2) as a cost per unit of service. According to exhibit 3, Linda used as a cost per unit of service. Linda did total 160 trips survey proposed and design therein 50 trips for the 20 larger projects only while 110 trips for the 100 smaller projects. One complicated thing was data collection for smaller projects because smaller projects was more than larger so in this way analysis and report preparation was too difficult for smaller projects. According to exhibit 3, the statistics shows that 20 larger projects