Activity ID Predecessors Duration in days Duration in hrs Resource

A 2 16 Alcide
B 6 48 Joan
C 2 16 Alcide
D A,B,C 3 24 Alcide
E D 10 80 Joan
F E 2 16 Alcide
G E 5 40 Joan
H E 4 32 Joan
I F,G,H 2 16 Alcide

Chart Title
I F,G,H 2 16 Alcide
H E 4 32 Joan
G E 5 40 Joan
F E 2 16 Alcide
E D 10 80 Joan
D A,B,C 3 24 Alcide
C 2 16 Alcide
B 6 48 Joan
A 2 16 Alcide
0 10 20 30 40 50 60

Column N PER DAY

Actual dur cost work days
2 days 4 hrs 6
4

D1 D2 D3
8 8 8

Hrs PER DAY

16 45 6
48 50 4
16 6
24 6
80 4
16 6
40 4
32 4
16 6
Demand 500,000 2,993
cost per order 10 37.5
Carrying cost 20% 23%
Unit Cost 20 25.79
EOQ 1581.139 194.5335
No of Orders per year 316.2278
Avg inventory 790.5694
Avg investment 15811.39
Ordering cost 3162.278
Carrying cost 158.1139
Annual cost of investment after discount

30 60
Year 0 1 2
Operating Costs
Raw material usage 80000 90000
Electricity 10000 30000
POL 15000 20000
Salary expense 35000 45000
Rent expense 30000 30000
Capital cost 1,070,000 0 0
Working capital cost 50,000 60,000 70,000
Net cash flows 1,120,000 230,000 285,000
Depriciation 0 877,500 685,000
Interest 107,000 107,000
Tax 263,250 205,500
Total Cost
Net cash flows 1,120,000 600,250 597,500

NPV @15% 160,000 140,000/(1.15)1 180,000/(1.15)2

NPV 160,000 121,739 136,105

 3 4

100000 150000
40000 50000
25000 30000
60000 65000
30000 30000
0
80,000 192500
335,000 325,000
492,500 300,000 30000
107,000 107,000
147,750 90,000

589,750 522,000 3,129,500

250,000/(1.15)3

164,379 582,223
 Pay load
Km per 10
Vehicles Cost (in life Consumption Km/ltr
year Total PL
tonnes)
Depriciation/yr
Rigid
body 600,000 30 10years 1,000,000 30,000,000 100 Km in 10 ltr
truck 60000
Articulat
900,000 60 10 years 1,000,000 60,000,000 50 Km in 10 ltr
ed truck 90000

Calculate unit depreciation cost, interpret the result and decide which one is better
Load carried yearly per cost of one driver, interpret the result and decide which one is better
Load carried per cost of one liter, interpret the result and decide which one is better
 Load per Load per
cost of cost of
one driver one liter (cost/PL)/KM

Better 30000000 300 0.02

60000000 Better 300 0.015