A contractor has a job which should be completed in 100 days. At present, hehas 80 men on the job and it is estimated that they will finish the work in 130days. Of the 80 men, 50 are each paid P120.00 a day, 25 at P180.00 a day, and5 at P250.00 a day. For each day beyond the original 100 days, the contractorhas to pay P500.00 liquidated damages. (50 points)a. How many more men should the contractor add so that he can completethe work on time?b. If of the additional men, 2 are paid P180.00 a day, and the rest at P120.00 aday, would the contractor save money by employing more men and notpaying the fine and by how much?

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Answered: A contractor has a job which should be…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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