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CPIF

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taterarpit
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CPIF

Postby taterarpit Fri Aug 22, 2014 11:34 am

Q2:Given are the statistics for a Project. Target Cost = $150,000; Target Fee = $30,000; Target
Price = $180,000; Sharing Ratio = 60/40; Ceiling Price = $200,000; Actual Cost = $210,000.
Calculate the Fee and the Final Price for the project
a) Fee = $30,000, Final Price = $210,000
b) Fee = $30,000, Final Price = $200, 000
c) Fee = $6,000, Final Price = $200, 000
d) Fee = $6,000, Final Price = $240,000
taterarpit
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Re: CPIF

Postby taterarpit Fri Aug 22, 2014 11:53 am

i have understood the question :-) i just missed a simple step but when i read that again i got the answer :-)

Sometimes this happens :-)
namita
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Re: CPIF

Postby namita Sat Aug 23, 2014 6:14 am

This is very important trick to handle for actual exam also :).. specially after first hour of exam
Housam Bassal
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Re: CPIF

Postby Housam Bassal Mon Dec 12, 2016 6:23 am

Calculation for Actual Fee/Profit:
Given figures ,
Target Cost = $150,000
Target Profit $30,000
Actual Cost = $210,000
Target Fee = $30,000
So , Savings amount due to Cost under run $150,000- $210,000= - $ 60,000
Profit Sharing Ratio = 60:40
So, Sellers share = 0.40 * (- $ 60,000)=- $ 24,000
Therefore, Actual Profit = $30,000- $ 24,000 = $ 6,000
Ceiling Price = $200,000
Final price is ceiling price = $200,000

Therefore the correct answer is c.

could you please confirm if the calculation and option c is right?
Housam Bassal
Ecuador - Quito
LinkedIn: https://www.linkedin.com/in/housam-bassal-49984357
manishpn
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Re: CPIF

Postby manishpn Mon Dec 12, 2016 6:58 am

yes thats correct
Br,
Manish P
PMP, PMI - ACP, SAFe Agilist
http://www.izenbridge.com/blog/7-effect ... ification/

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