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23 July, 13:11

An activity's normal time and cost are 8 and $100, respectively. its estimated crash time and cost are 6 and $160, respectively. what is this activity's crash cost per time unit?

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  1. 23 July, 13:31
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    An activity's normal time and cost are = 8 and $100 respectively

    estimated crash time and cost are = 6 and $160 respectively

    Activity's crash cost per unit time = ?

    crash cost per unit time = cost slope and,

    cost slope = rise/run = (crash cost - normal cost) / (normal time - crash time)

    cost slope = (160 - 100) / (8 - 6) = 60 / 2 = $30

    so, crash cost per unit time is $30.
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