Question: Activity Immediate Predecessor(s) Normal Time (wks) Crash Time (wks) Normal Cost ($) Crash Cost ($) A 4 1 5,000 8,000 B 5 3 8,000 10,000
| Activity | Immediate Predecessor(s) | Normal Time (wks) | Crash Time (wks) | Normal Cost ($) | Crash Cost ($) |
| A | 4 | 1 | 5,000 | 8,000 | |
| B | 5 | 3 | 8,000 | 10,000 | |
| C | A | 1 | 1 | 4,000 | 4,000 |
| D | B | 6 | 3 | 6,000 | 12,000 |
| E | B, C | 7 | 6 | 4,000 | 7,000 |
| F | D | 7 | 6 | 4,000 | 7,000 |
- You are the manager of a project to improve a billing process at your firm. Table 3 contains the data you will need to conduct a cost analysis of the project. Indirect costs are $1,600 per week, and penalty costs are $1,200 per week after week 12.
- What is the minimum-cost schedule for this project?
- What is the difference in total project costs between the earliest completion time of the project using normal times and the minimum-cost schedule you derived in part (a)? minimum- cost schedule derived in part A was = 15 weeks.
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