Megah Holding Sdn. Bhd is in progress to start their housing project. The list of activity and scheduled of the project is proposed as in Table 1.

1. If the indirect costs for each duration is as follows, compute the direct and total cost for each duration. What is the optimum cost-time schedule?

Indirect cost

27 weeks RM 350

26 weeks RM 270

25 weeks RM 160

24 weeks RM 100

12 weeks RM 70

(12 marks)

2. An incentive of RM20 per week has been offered by your clients if you can shorten the duration of the project. Would you grab the opportunity? If yes, for how many weeks? (3 marks)

Table 1 Housing Project Schedule

Activity	Predecessor	Normal time	Normal cost	Crash cost (slope)	Maximum crash time
A	-	10	40	80	2
B	-	8	10	30	3
C	-	5	80	40	1
D	A	11	50	50	2
E	C	15	100	100	4
F	B, D, E	6	20	30	1

*Time unit = 1 week