Find out optimum cost & optimum duration for the project.

Activity	Normal Duration (days)	Normal Cost (Rs.)	Crash Duration (days)	Crash Cost (Rs.)
1-2	7	7500	4	15000
1-3	9	4500	5	9000
2-3	5	6000	2	9000
2-4	6	8500	3	14000
3-4	6	8000	3	12000
4-5	8	9000	4	15000

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written 7.0 years ago by

teamques10 ★ 68k

Activity	Normal Duration (days)	Normal Cost (Rs.)	Crash Duration (days)	Crash Cost (Rs.)	Cost Slope
1-2	7	7500	4	15000	2500
1-3	9	4500	5	9000	1125
2-3	5	6000	2	9000	1000
2-4	6	8500	3	14000	1833.33
3-4	6	8000	3	12000	1333.33
4-5	8	9000	4	15000	1500
		43500		74000

$\text{Cost Slope} = \frac{\text{Crash Cost - Normal Cost}}{\text{Normal Time - Crash Time}}$

Stage 1 :- Normal Time:-

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Critical path = 1-2-3-4-5

Project duration = 26 days

Stage 2 :- All Crash

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Critical path = 1-2-6-4-5

Project Duration = 13 days

Stage 3 :- Stage 1 + Crash C by 3 days & Crash E by 1 day.

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Critical path = 1-2-3-4-5 or 1-3-4-5

Project duration = 22 days

Stage 4 : - Stage 3 + Crash D by 3 days & Crash E by 2 days.

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Critical path = 1-2-3-4-5

1-3-4-5

Project duration = 20 days

Stage	Description	Duration	Direct	Indirect	Addition	Total
I	All Normal	26	43500	26×3500=91000	-	134500
II	All Crash	13	74000	13×3500=45500	-	19500
III	Stage I+ Crash C by 3 days and Crash E by 1 day	22	43500	22×3500	3×1000+ 1333.33	124833.33
IV	Stage 3 +Crash D by 3 day & Crash E by 2 day	20	43500	20×3500	3000+1333.33×1833.33+2× 1333.33	125999.98

Optimum cost = Rs. 124833.33

Optimum duration = 22 days.

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