An activity's normal time and cost are 10 and $120, respectively. Its estimated crash time and cost are 7 and $180, respectively. What is this activity's crash cost per time unit?
A) $20
B) $30
C) $40
D) $50
E) $60

Question

Quizplus · Accepted Answer

The crash cost per time unit is calculated as (Crash cost - Normal cost) / (Crash time - Normal time) = ($180 - $120) / (7 - 10) = $60 / (-3) = $20.

An Activity's Normal Time and Cost Are 10 and $120