Questions 1

1. What is a CPM and state its use?
2. What is PERT and state its use
3. Discuss similarities and differences of between CPM and PERT

Question 2

The ABC company is planning to purchase a machine known as machine X. Machine X would cost $25,000 and would have a useful life of 10 years with zero salvage value. The expected annual cash inflow of the machine is $10,000. Compute payback period of machine X and conclude whether or not the machine would be purchased if the maximum desired payback period of ABC company is 3 years.

1. "Project Formulation" is the processes of presenting a project idea in a form in which it can be subjected to comparative appraisals for the purpose of determining in definitive terms the priority that should be attached to a project. Discuss in relation to the schematic view
2. Technical analysis is based on the description of the product and specifications and also the requirements of quality standards. The analysis encompasses available alternative technologies, selection of the most appropriate technology in terms of optimum combination of project components, implications of the acquisition of technology, and contractual aspects of licensing. Forward a detailed discussion on salient areas

Which critical elements are found in the PMP? Why are they important?