A construction project has indirect costs totaling $40,000 per week. Major activities in the project and their

Question:

A construction project has indirect costs totaling $40,000 per week. Major activities in the project and their expected times in weeks are shown in this precedence diagram.

image text in transcribed

Crashing costs for each activity are:
CRASHING COSTS ($000)
Activity First Week Second Week Third Week 1-2 $18 $22 $—
2-5 24 25 25 5-7 30 30 35 7-11 15 20 —
11-13 30 33 36 1-3 12 24 26 3-8 — — —
8-11 40 40 40 3-9 3 10 12 9-12 2 7 10 12-13 26 — —
1-4 10 15 25 4-6 8 13 —
6-10 5 12 —
10-12 14 15 —

a. Determine the optimum time–cost crashing plan.

b. Plot the total-cost curve that describes the least expensive crashing schedule that will reduce the project length by six weeks. LO.1