2. A contractor has a contract to remove and replace theexisting landscape and
sidewalks around an office building. The work includes demolitionof the
existing landscaping and sidewalks, importing fill and gradingaround the
office building, constructing new concrete sidewalks, and newlandscaping.
The contractor uses the cost codes in Figure 2-6. The originalestimate for the
demolition was $30,000 and a $5,000 change order has been approvedto
remove some unexpected debris found during the demolition.The
demolition work has been completed at a cost of $33,562. Theoriginal
estimate for the fill and grading was $17,500 and a $2,000 changeorder for
importing additional fill to replace the debris has been approved.The fill and
grading costs to date are $17,264 and the cost to complete hasbeen
estimated at $2,236. The original budget for the labor to pour theconcrete
was $19,200 and no changes have been made. The concrete labor hasbeen
subcontracted out for $19,200, for which the contractor hasreceived a bill
for $15,200. The original budget for the concrete for the sidewalkswas
$9,900 and no changes have been made. The contractor has spent$7,425 for
concrete and estimates that $1,950 of concrete will be needed tocomplete
the project. The original estimate for the landscaping was $37,500and no
changes have been made. The landscape work has been subcontractedout for
$37,500. The landscaping work has yet to start and no bills havebeen
received. Determine the total estimated cost at completion for theproject
and the variance for each cost code.

6. Create a spreadsheet to solve Problem 2.