Project Finance

Question 1

What is revenue?

Answer 1

The total amount of money brought in by a companies operations

Question 2

Give an example of when you have advised stakeholders on cash-flow

Answer 2

• On Brent Cross I had to advise on what was causing large variances in the project cashflow forecast
• As it was raised by VFL senior management and the client that there were variances in the previous cashflow forecasts
• I had to identify which CE’s were causing the variances and also advise on the corrective measures to ensure this would not be an ongoing issue

Question 3

Take me through the process of preparing a cashflow forecast

Answer 3

• On my project I manage the cost side of reporting, so I prepare the cost elements of the cashflow forecast, whilst the Commercial Manager deals with the value aspect
• I track all project costs against the project programme to identify when the cost will be incurred
• I undertake checks that the cost in the forecast matches with the cost to come within the cost plan

Question 4

What is the purpose of a cost report?

Answer 4

The purpose of cost reporting is to inform the business or a client in a construction project of the likely outturn cost of the construction project