Three critical path activities are candidates for crashing on a CPM network. Activity details are in the table below

Activity Normal Time Normal Cost Crash Duration Crash Cost
X 8 days $6,000 6 days $8,000
Y 3 days $1,800 2 days $2,400
Z 12 days $5,000 9 days $7,700

a. What is the crash cost per unit time for each of the three activities?
b. Which activity should be crashed first to cut one day from the project's duration; how much is added to project cost?
c. Which activity should be the next activity crashed to cut a second day from the project's duration; how much is added to project cost?


(a) crash cost X = $1,000 per day; crash cost Y = $600 per day ; crash cost Z = $900 per day
(b) select Y, adding $600; (c) select Z, adding $900

Business

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