2. [10 marks] You are managing a project. The AON diagram of this project is given in the following figure. The direct cost information of each activity is given in the following table. And the indirect costs for each duration are $1,200 for 16 weeks, $1,130 for 15 weeks, $1,000 for 14 weeks, $900 for 13 weeks, $860 for 12 weeks, $820 for 11 weeks and $790 for 10 weeks. The board of directors asked you to generate a schedule of alternative shorter durations. Calculate the cost slope for each activity and then crash the project until you cannot reduce the project duration anymore. Plot the cost-time graph and find the optimum cost-time point. Crash Time (weeks) 3 5 1 2 Activity A B D E F G . 1 Normal Time (weeks) 4 7 1 4 5 5 2 2 2 Normal Cost ($) 30 60 80 40 110 90 60 70 140 Total: 680 Crash Cost ($) 40 200 80 80 260 690 90 110 140 2 2 1 1 2 16 PROJECT DURATION A F 4 1 x 5 D G 1 2x 4 2 B 7 E H TOTAL DIRECT COST $ 680 5 2