START FINISH Activity Normal Time Crash Time Normal Cost Crash Cost (Weeks) (Million P) (Million P) 2.7 2.925 3.15 1.935 3.6 (Weeks) 2.43 2.79 2.97 1.8 3 3 2 4 3 4 3.375 These costs reflect the company's direct costs for the material, equipment, and direct labor required to perform the activities. In addition, the company incurs indirect project costs such as supervision and other customary overhead costs, interest charges for capital tied up, and so forth. The president estimates that these indirect costs run P 225,000 per week. He wants to minimize the overall cost of the project. Therefore, to save some of these indirect costs, he concludes that he should shorten the project by doing some crashing to the extent that the crashing cost for each additional week saved is less than P 225,000. a. Determine the critical path and the total duration of the project.
START FINISH Activity Normal Time Crash Time Normal Cost Crash Cost (Weeks) (Million P) (Million P) 2.7 2.925 3.15 1.935 3.6 (Weeks) 2.43 2.79 2.97 1.8 3 3 2 4 3 4 3.375 These costs reflect the company's direct costs for the material, equipment, and direct labor required to perform the activities. In addition, the company incurs indirect project costs such as supervision and other customary overhead costs, interest charges for capital tied up, and so forth. The president estimates that these indirect costs run P 225,000 per week. He wants to minimize the overall cost of the project. Therefore, to save some of these indirect costs, he concludes that he should shorten the project by doing some crashing to the extent that the crashing cost for each additional week saved is less than P 225,000. a. Determine the critical path and the total duration of the project.
Chapter2: Loads On Structures
Section: Chapter Questions
Problem 1P
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Question

Transcribed Image Text:1. A Construction Company is about to begin the construction of a large new subdivision. The
company's president is currently planning the schedule for this project. He has identified
the five major activities (labeled A, B, C, D, E) that need to be performed
according to the project network shown next, followed by a table giving the normal point
and crash point for each of these activities.
START
|FINISH|
Activity
Normal Time
Crash Time
Normal Cost
Crash Cost
(Weeks)
(Weeks)
(Million P)
(Million P)
A
2
2.43
2.7
B
4
3
2
2.79
2.97
2.925
3.15
C
1
1.8
1.935
E
4
2
3.375
3.6
These costs reflect the company's direct costs for the material, equipment, and direct labor
required to perform the activities. In addition, the company incurs indirect project costs such
as supervision and other customary overhead costs, interest charges for capital tied up, and
so forth. The president estimates that these indirect costs run P 225,000 per week. He wants
to minimize the overall cost of the project. Therefore, to save some of these indirect costs, he
concludes that he should shorten the project by doing some crashing to the extent that the
crashing cost for each additional week saved is less than P 225,000.
a. Determine the critical path and the total duration of the project.
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