Question

You are the manager of a project to improve the billing process at your firm. The table below contains the data you will need to conduct a cost analysis of the project. Indirect costs are $1600 per week, and penalty costs are $1200 per week after week 12.

a- What is the minimum-cost schedule for this project?

b- 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. Please show work in POM QM as well as outlining the answer.

Activity	Normal Time	Normal Cost	Crash Time (Days)	Crash Cost ($)	Immediate Predecessors
a	6	$1000	5	$1200	---
b	4	800	2	2000	---
c	3	600	2	900	a, b
d	2	1500	1	2000	b
e	6	900	4	1200	c, d
f	2	1300	1	1400	e
g	4	900	4	900	e
h	4	500	2	900	g

Answer 1