k Description Precedence Time (days) cost($) crash time (days) Per day revised cost Preparation of drawings and permits - 14 72,500 10 10,000 Calling and letting of tenders - 68 166,750 66 23,000 Site preparation and excavation A 6 116,000 4 16000 Pouring the foundation A 24 250,000 24 - Framing C,D 40 145,000 30 20000 Plumbing and electrical work D 18 159,500 12 22000 Interior finished F 16 108,750 12 15000 Exterior finishes E,G 22 175,000 22 - Installing and commissioning new machines B,E 34 101

k Description Precedence Time (days) cost($) crash time (days) Per day revised cost Preparation of drawings and permits - 14 72,500 10 10,000 Calling and letting of tenders - 68 166,750 66 23,000 Site preparation and excavation A 6 116,000 4 16000 Pouring the foundation A 24 250,000 24 - Framing C,D 40 145,000 30 20000 Plumbing and electrical work D 18 159,500 12 22000 Interior finished F 16 108,750 12 15000 Exterior finishes E,G 22 175,000 22 - Installing and commissioning new machines B,E 34 101

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter17: Long-term Investment Analysis

Section: Chapter Questions

Problem 10E

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Task Description	Precedence	Time (days)	cost($)	crash time (days)	Per day revised cost
Preparation of drawings and permits	-	14	72,500	10	10,000
Calling and letting of tenders	-	68	166,750	66	23,000
Site preparation and excavation	A	6	116,000	4	16000
Pouring the foundation	A	24	250,000	24	-
Framing	C,D	40	145,000	30	20000
Plumbing and electrical work	D	18	159,500	12	22000
Interior finished	F	16	108,750	12	15000
Exterior finishes	E,G	22	175,000	22	-
Installing and commissioning new machines	B,E	34	101,500	30	14000
Finishing touches and final work through	H,I	32	64,000	32	-