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The following information is provided by a contracting company, contracted to build economy houses by the government of Botswana. As a consultant, study the information and use it to answer the following questions raised.
Activity
Duration (Days)
Direct cost (P)
Name
Normal
Crush
1-2
Trench
12
10
3,600
3,880
1-4
Footing
18
14
4,600
5,000
1-3
Foundation
9
6
2,600
3,200
2-4
3 course
7
1,800
1,950
2-5
Window level
3,000
3,240
4-5
Roof level
13
36,000
4,240
3-5
Roofing
5
1,900
2,400
21,100
23,910
REQUIRED:
Problem a) Prepare the network diagram of a project and show the critical path.
Problem b) Calculate the normal cost to complete the project if the fixed cost amounts to P200/day.
Problem c) Calculate the minimum cost of the project if it is to be completed in 22 days.
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