BUSN 3430 Worked problems (Show calculations in order to get full credit) 1. The CEO has asked you to evaluate the firm's productivity by comparing performance a month from last year and equivalent month this year. The following data are available: (10 points) Last Year This Year Output 10,200 units 12,000 units Labor (hours) 9,000 9,200 Utilities (BTUs) 5,600 6,250 Capital $8,000 $9,600 The CEO determines his costs to be as follows: Labor $20 per hour Utilities $0.60 per BTU Capital 20% per month of investment. Show the productivity change, for one month last year versus one month this year, on a multifactor basis. 2. A small software development project has 9 major activities. The times are estimated and provided in the network below. [15 points] 1 + 2 D 3 4 00 C 77 3 E 5 Z G I 6 WH 7 (a) Using the method of ES, EF, LS, and LF, determine the project completion time? (b) Find the critical path(s). (c) State the non-critical activities. (d) Explain what it means if an activity has a slack of zero (give an example). (e) Explain what it means if an activity has a slack of non-zero (give an example) Formulas LF-EF or LS-ES 2 EF Estt 3 Ls = LF-t 4 t a+4m+b 6 v = [E=a] >v= V 5 6 2 6 Output Input Output Labor+ Capital + Energy 8