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SPM Lab Sample
SPM Lab Sample
SPM Lab Sample
It illustrates the start and finish dates of the terminal elements and summary
elements of a project.
Fig : Time Plan
A network diagram is a graphical description of the project’s task list and their
relationships. The critical path method is used on the network diagram to
determine the longest path through the network. In the network diagram shown
below we have a critical path of all tasks.
n = nth year
1
Discount rate = (1+𝑟)^𝑡
NPV of all costs = NPV of all costs of year (n-1) + PV of recurring costs of
year n