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marishachu [46]
3 years ago
11

Project Management Practice ProblemBragg’s Bakery is building a new automated bakery downtown Sandusky. Here are the activities

that need to be completed to get the new bakery built and the equipment installed.
ACTIVITYPREDECESSORNORMAL TIME (WEEK)CRASH TIME (WEEK)EXPEDITING COST/WEEKA-963000BA853500CA15104000DB,C532000EC1062500FD,E215000
Hint: I have directly provided the crashing cost per unit time.
a. What is the normal project length?
b. What is the critical path in this project?
c. Which activity will you choose to crash first to reduce the duration of the project by one week?
d. What is the project length if all activities are crashed to their minimum?
e. What is the slack for activity D?
Business
1 answer:
pav-90 [236]3 years ago
7 0

Answer:

a. The normal project length is 36 weeks.

b. The critical path in this project is A-C-E-F.

c. The activity that you choose to crash first to reduce the duration of the project by one week is E because it has the least expediting cost/week amongst A, C, E, F.

d. The project length if all activities are crashed to their minimum is 23 weeks.

e. The slack for activity D is 5 weeks.

Explanation:

a) The normal length of the project = completion time of last activity = 36 weeks.

b) The criteria for critical activity:

LC_{i} = ES_{i} ,\\LC_{j} = ES_{j} ,\\

ES_j - ES_i = LF_j - LF_{i} = duration of the activity

where ES = Earliest start time, EF = Earliest finish time , LC = latest completion time, LF = latest finish time ,

The suffix- i refers to the preceding node, suffix-j refers to the succeeding node.

activities satisfying above all criteria are A, C, E, F

therefore critical path is A-C-E-F.

c) To reduce the project duration by 1 week. we should choose to crash among critical activities A, C, E, F. thus we choose to crash activity E because it has the least expediting cost/week amongst A, C, E, F.

d) if we crash all the activities to their minimum, then the project length = sum of crash time of all critical activities

= [6 + 10 + 6 + 1]

= 23 weeks.

e) The slack of activity d = LS - ES = 34 - 29

= 5 weeks

The critical path is given in the diagram,

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Answer:

A) $1384.24

Explanation:

Terminal Value = Free Cash Flow (FCF) of last forecast *(1+ perpetual growth rate)/(discount rate – perpetual growth rate)

FCF of last forecast = $88*(1+10%)^2 = $106.48

Gonzales Corporationʹs expected terminal enterprise value in year 2 = $106.48 * (1+4%)/(12%-4%) = $1382.24

6 0
3 years ago
he Talley Corporation had a taxable income of $345,000 from operations after all operating costs but before (1) interest charges
Setler79 [48]

Answer:

(a) The firm's Income tax liability is $59,771.25.

(b) The firm's after-tax income is $233,478.75.

Explanation:

Note: This question is not complete. The complete question is therefore provided before answering the question as follows

The Talley Corporation had a taxable income of $345,000 from operations after all operating costs but before (1) interest charges of $69,000, (2) dividends received of $17,250, (3) dividends paid of $20,700, and (4) income taxes. Its federal tax rate was 21% (ignore any possible state corporate taxes). Recall 50% of dividends received are tax exempt. What are the firm's income tax liability and its after-tax income?

The explanation to the anwer is now given as follows:

Adjusted taxable income = Income after operation - Interest charges + Taxable dividend received ................. (1)

Where;

Income after operation = $345,0000

Interest charges = $69,000

Taxable dividend received = 50% * $17,250 = $8,625

Substituting the values into equation (1), we have:

Adjusted taxable income = $345,000 - $69,000 + $8,625 = $284,625

(a) Income tax liability = Adjusted taxable income *  Tax rate = $284,625 * 21% = $59,771.25

(b) After-tax income = (Adjusted taxable income - Income tax liability) + (50% of dividend received) = ($284,625 - $59,771.25) +  (50% * $17,250) = $224,853.75 + $8,625 = $233,478.75

3 0
3 years ago
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Answer:

Total fixed cost $16,000

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Explanation:

the budget was made for 8,000 units

so the 2.00 dollars for fixed cost will be based on a production for 8,000 units

total fixed cost: 8,000 budgeted units x $2 per unit = 16,000

This is the level of fixed cost.

<u>For 10,000 units the total fixed cost should be the same.</u>

and for units it will be total cost / units of production

16,000 / 10,000 = 1.6

On unit-level it will drop by 40 cent to $1.60 from $2.00

7 0
3 years ago
You purchased five call option contracts with a strike price of $22.50 and an option premium of $.48. You held the option until
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Answer:

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Explanation:

-$240

Total Loss= 5*(100 x -$0.48)= -$240

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7 0
2 years ago
Net income for the year was $29,500. Accounts receivable increased $2,500, and accounts payable increased $5,400. There were no
mylen [45]

Answer:

True

Explanation:

The net cash flow for the year can be calculated using the following equation:

net cash flow = net income + accounts payable - accounts receivable

net cash flow = $29,500 + $5,400 - $2,500 = $32,400

We have to subtract accounts payable since they were included in the net income but the cash has not been received yet.  

4 0
3 years ago
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