Three Critical Path Activities Are Candidates for Crashing on a CPM

question 5

Essay

Three critical path activities are candidates for crashing on a CPM network.Activity details are in the table below.
a.What is the crash cost per unit time for each of the three activities?
b.Which activity should be crashed first to cut one day from the project's duration; how much is added to project cost?
c.Which activity should be the next activity crashed to cut a second day from the project's duration; how much is added to project cost?

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Definitions:

Significantly Influenced

A situation where an entity has a notable but not controlling interest in another entity, impacting its financial and operating policies.

Associate

An entity in which an investing entity has significant influence, typically through owning a substantial but not majority shareholding, usually between 20% and 50%.

Other Comprehensive Income

Represents items of income and expense that are not realized through the profit and loss account, including gains or losses from foreign currency translation and changes in the fair value of investments.

Debt Investments

Investments made by purchasing bonds or other debt instruments, offering returns in the form of regular interest payments.