- Draw the project network diagram. - What completion date would you recommend? Your company has just received an order from a good customer for a specially designed electric motor. Thecontract states that, starting on the thirteenth day from now, your firm will experience a penalty of $100 per dayuntil the job is completed. Indirect project costs amount to $200 per day. The data on direct costs and activityprecedence relationships are given in Table below:TABLE 2.2 ELECTRIC MOTOR PROJECT DATAActivityABCDEFGHNormal Time(days)475631143ImmediateNormal Cost ($) Crash Time (days) Crash Cost ($) Predecessor(s)1,0003None1,40042,00041,200590022,5008003006311,3002,0002,7001,4001,1003,7501,450500NoneNoneABCD, EF, G

Penalty = $100 per dayIndirect costs = $200 per day

Your company has just received an order from a good customer contract states that, starting on the thirteenth day from now, your until the job is completed. Indirect project costs amount to $200 p precedence relationships are given in Table below: TABLE 2.2 ELECTRIC MOTOR PROJECT DATA

Your company has just received an order from a good customer contract states that, starting on the thirteenth day from now, your until the job is completed. Indirect project costs amount to $200 p precedence relationships are given in Table below: TABLE 2.2 ELECTRIC MOTOR PROJECT DATA

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Question

- Draw the project network diagram.
- What completion date would you recommend?

Your company has just received an order from a good customer for a specially designed electric motor. The
contract states that, starting on the thirteenth day from now, your firm will experience a penalty of $100 per day
until the job is completed. Indirect project costs amount to $200 per day. The data on direct costs and activity
precedence relationships are given in Table below:
TABLE 2.2 ELECTRIC MOTOR PROJECT DATA
Activity
A
B
C
D
E
F
G
H
Normal Time
(days)
4
7
5
6
3
11
4
3
Immediate
Normal Cost ($) Crash Time (days) Crash Cost ($) Predecessor(s)
1,000
3
None
1,400
4
2,000
4
1,200
5
900
2
2,500
800
300
6
3
1
1,300
2,000
2,700
1,400
1,100
3,750
1,450
500
None
None
A
B
C
D, E
F, G

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