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CPM, problem : Minimum cost schedule, Crashing

Information concerning a project is given below. Indirect project costs amount to $250 per day. The company will incur a $100 per day penalty for each day the project lasts beyond day 14.
a) What is the project's duration if only normal times are used?
b) What is the minimum-cost schedule?
c) What is the critical path for the minimum-cost schedule?

Activity Normal Normal Cost Crash time crash cost immediate Predecessor
Time ($) (days) ($)

A 5 1,000 4 1,200 ---
B 5 800 3 2,000 -----
C 2 600 1 900 A,B
D 3 1,500 2 2,000 B
E 5 900 3 1,200 C,D
F 2 1,300 1 1,400 E
G 3 900 3 900 E
H 5 500 3 900 G

Solution Summary

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