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| A defense contractor for a government space project has incurred $2,500,000 in actual design costs to date for a guidance system whose total budgeted design cost is $3,000,000. If the design phase of the project is 60% complete, what is the amount of the contractor’s current overrun/savings on this design work? A. $500,000 savings. B. $500,000 overrun. C. $700,000 overrun D. $300,000 savings. |