Which of These Statements Regarding Time-Cost Tradeoffs in CPM Networks

question 15

Multiple Choice

Which of these statements regarding time-cost tradeoffs in CPM networks is true?

• A) Crashing is not possible unless there are multiple critical paths.
• B) Crashing a project often reduces the length of long-duration, but noncritical, activities.
• C) Activities not on the critical path can never be on the critical path, even after crashing.
• D) Crashing shortens the project duration by assigning more resources to one or more of the critical tasks.
• E) None of the above is true.

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Definitions:

Break-even Sales

The amount of revenue needed to cover both the fixed and variable costs of a business, resulting in no profit or loss.

Unit Selling Price

The price at which a single unit of product is sold, not including any discounts or promotions.

Unit Variable Costs

The variable costs associated with producing one unit of a product, including materials, labor, and any other variable expenses.

Break-even Point

The level of sales at which a company neither makes a profit nor incurs a loss, indicating the minimum market performance needed to cover all expenses.