Project Management Simplified

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Project Budget

Projects cost money; the key stakeholders expect that the product of the project will generate more benefit (in the form of money/revenue, enjoyment, satisfaction, or other intangibles) than it costs. In the case of the deck project, the property owner expects that the additional rent that he may obtain in the future is greater than the cost of the deck. The tenants, who may help build the deck, expect that the enjoyment of using the deck while they rent the house is greater than the sweat equity that they will contribute toward the building of the deck. However, in both cases, the return on the investment occurs after the project is complete. The sponsor and customers expend time and money in expectation of a future reward. ...