The project detailed in the table below is contracted for delivery in 11 weeks, with a...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The project detailed in the table below is contracted for delivery in 11 weeks, with a penalty clause requiring the contractor to pay a penalty of $5000 for each week late. The project must therefore be expedited. The possible reductions and associated costs are shown in the table. Times in the table are given in weeks. Only activity 5 can be expedited two weeks. Activities 1 and 9 cannot be expedited. The other activities can be expedited one week. (a) Draw the CPM network and identify the critical path. How many weeks will the project require under normal operations? What is the total project cost with penalty included? (b) How could the project time be reduced to 12 weeks and what is the total project cost including penalty? (c) How could the project time be reduced to 11 weeks and what is the total project cost? (d) What is the lowest cost decision, 12 weeks or 11 weeks? Activity 1 2 5789SAWN 3 4 6 Immediate Predecessor 1123 3 3 4,5 7,8 Normal Time 0 4 2 5 3 Expedited Time 4334AANWO 2 Normal Cost ($) 0 5,000 3,000 7,000 9,000 6,000 4,000 8,000 500 Expedited Cost ($) 0 6,900 3,000 9,200 13,000 7,800 6,500 11,000 500 The project detailed in the table below is contracted for delivery in 11 weeks, with a penalty clause requiring the contractor to pay a penalty of $5000 for each week late. The project must therefore be expedited. The possible reductions and associated costs are shown in the table. Times in the table are given in weeks. Only activity 5 can be expedited two weeks. Activities 1 and 9 cannot be expedited. The other activities can be expedited one week. (a) Draw the CPM network and identify the critical path. How many weeks will the project require under normal operations? What is the total project cost with penalty included? (b) How could the project time be reduced to 12 weeks and what is the total project cost including penalty? (c) How could the project time be reduced to 11 weeks and what is the total project cost? (d) What is the lowest cost decision, 12 weeks or 11 weeks? Activity 1 2 5789SAWN 3 4 6 Immediate Predecessor 1123 3 3 4,5 7,8 Normal Time 0 4 2 5 3 Expedited Time 4334AANWO 2 Normal Cost ($) 0 5,000 3,000 7,000 9,000 6,000 4,000 8,000 500 Expedited Cost ($) 0 6,900 3,000 9,200 13,000 7,800 6,500 11,000 500
Expert Answer:
Answer rating: 100% (QA)
SOLUTION a To draw the CPM network and identify the critical path we first need to identify the activities their immediate predecessors normal times a... View the full answer
Related Book For
Financial Reporting and Analysis
ISBN: 978-0078025679
6th edition
Authors: Flawrence Revsine, Daniel Collins, Bruce, Mittelstaedt, Leon
Posted Date:
Students also viewed these accounting questions
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
The first payroll in October covered the two workweeks that ended on September 26 and October 3. This payroll transaction has been entered for you in the payroll register, the employees' earnings...
-
Start of Payroll Project 7-3a October 9, 20-- No. 1 The first payroll in October covered the two workweeks that ended on September 26 and October 3. This payroll transaction has been entered for you...
-
Write a filter that reads text from an input stream and prints it to an output stream, removing any lines that consist only of whitespace.
-
The refrigerant R-22 is used as the working fluid in a conventional heat pump cycle. Saturated vapor enters the compressor of this unit at 10C; its exit temperature from the compressor is...
-
A golf ball is released from rest from the top of a very tall building. Neglecting air resistance, calculate (a) The position and (b) The velocity of the ball after 1.00, 2.00, and 3.00 s
-
Which of the following is not a characteristic that makes information useful? a. It is reliable. c. It is inexpensive. b. It is timely. d. It is relevant.
-
Shark Rides manufactures snowboards. Roy Bettano, the CEO, is trying to decide whether to adopt a lean thinking model. He expects that adopting lean production would save $ 67,000 in warehousing...
-
RNM $1,200,000,000 Callable N/A LOLE 4 As a part of your internship at Village Investments Ltd., you are to review the 2 bonds issued at par, by RNM Fisheries and Sigma Fisheries in the table below....
-
An entertainer has been asked to give a performance consisting of four items. They know three songs, five jokes, two juggling tricks and can play one tune on the mandolin. Find how many different...
-
The structural element in the figure carries the following loads. P= 5 kN, V = 6 kN ve T = 1.5 kN m. If the L = 150 cm. The solid circular element's diameter is 20 mm. For point H; a) Calculate the...
-
Why is it important for an entrepreneur to plan for unexpected productmarket success? What are the potential consequences of failing to do so?
-
Explain how VCs distribute capital gains associated with a successful exit of a portfolio company (the waterfall). How is a clawback provision related to the overall distribution of returns to LPs...
-
What factors are important in establishing the appropriate forecast period and forecasting interval?
-
Explain the difference between marginal and average contribution margins. Why is it important to distinguish between them when making operational decisions?
-
Why is forecasting revenue the logical starting point for preparing a new ventures financial statements?
-
Solve for the missing information designated by "?" in the following table. (Use 365 days in a year. Round the inventory turnover ratio to one decimal place before computing days to sell. Round days...
-
Activator rod AB exerts on crank BCD a force P directed along line AB. Knowing that P must have a 100-N component perpendicular to arm BC of the crank, determine (a) The magnitude of the force P, (b)...
-
On January 1, 2013, Roland Inc. issued $125 million of 8% bonds at par. The bonds pay interest semiannually on June 30 and December 31 of each year, and they mature in 15 years. On December 31, 2014...
-
Mozart Inc.s $98,000 taxable income for 2014 will be taxed at the 40% corporate tax rate. For tax purposes, its depreciation expense exceeded the depreciation used for financial reporting purposes by...
-
Fish Spotters, Inc., purchased a single-engine aircraft from National Aviation on January 1, 2011. Fish Spotters paid $55,000 cash and signed a three-year, 8% note for the remaining $45,000. Terms of...
-
This problem can be solved analytically or with a spreadsheet. Two identical large glass bulbs are filled with gases and connected by a capillary tube that is \(\delta=0.0090\) \(\mathrm{m}\) long....
-
Estimate \(\mathrm{Sc}_{\mathrm{V}}\) for a saturated vapor mixture that is \(80 \mathrm{~mol} \%\) ethanol and \(20 \mathrm{~mol} \%\) water at \(1.0 \mathrm{~atm}\).
-
PhotoMax, Inc., plans to prepare a sales budget schedule and a purchases budget schedule for 20X3. Management has set a sales goal of 250,000 units. After reviewing price trends, the sales manager...
Study smarter with the SolutionInn App