* USE EXCEL

what tasks would you reduce and at what cost ?

The Lockhead Aircraft Co. is ready to begin a project to develop a new fighter airplane for the U.S. Air Force. The company's contract with the Department of Defense calls for project completion within 92 weeks, with penalties imposed for late delivery. The project involves 10 activities (labeled A, B, ..., J), where their precedence relationships are shown in the project network below. A START F FINISH H B E D Management would like to avoid the hefty penalties for missing the deadline in the current contract. Therefore, the decision has been made to crash the project, using the CPM method of time-cost trade-offs to determine how to do this in the most economical way. The data needed to apply this method are given next. Activity Normal Cost Crash Cost A B D E F G H 1 1 Normal Crash Time Time 32 weeks 28 weeks 28 weeks 25 weeks 36 weeks 31 weeks 16 weeks 13 weeks 32 weeks 27 weeks 54 weeks 47 weeks 17 weeks 15 weeks 20 weeks 17 weeks 34 weeks 30 weeks 18 weeks 16 weeks $160 million 125 million 170 million 60 million 135 million 215 million 90 million 120 million 190 million 80 million 180 million 146 million 210 million 72 million 160 million 257 million 96 million 132 million 226 million 84 million