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A construction company has four projects that can currently be completed in 15, 20, 18, and 25 weeks respectively. Management allocated an additional $35,000 to reduce completion times. The table shows how completion times decrease with additional funds allocated in $5,000 increments per project. To maximize the total reduction in completion time, the optimal allocation is $5,000 to project 1, $10,000 each to projects 2, 3, and 4.

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534 views

Assign DP

A construction company has four projects that can currently be completed in 15, 20, 18, and 25 weeks respectively. Management allocated an additional $35,000 to reduce completion times. The table shows how completion times decrease with additional funds allocated in $5,000 increments per project. To maximize the total reduction in completion time, the optimal allocation is $5,000 to project 1, $10,000 each to projects 2, 3, and 4.

Uploaded by

ruzsi07
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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A construction company has four projects in progress.

According to the current allocation of manpower,


equipment, and materials, the four projects can be completed in 15, 20 ,18 and 25 weeks . Management
wants to reduce the completion times and has decided to allocate an additional $35000 to all four
projects. The new completion times as functions of the additional funds allocated to each projects are
given in the table below. How should the $35,000 be allocated among the projects to achieved the
largest total reduction in completion time? Assume that the additional funds can be allocated only on
blocks of $5000.

ADDITIONAL FUNDS Completion times(in weeks)


(x1000 dollars) PROJ. 1 PROJ. 2 PROJ. 3 PROJ. 4
0 15 20 18 25
5 12 16 15 21
10 10 13 12 18
15 8 11 10 16
20 7 9 9 14
25 6 8 8 12
30 5 7 7 11
35 4 7 6 10

n=4 S4/X4 f4*S4 X4*


0 25 0
5 21 5
10 18 10
15 16 15
20 14 20
25 12 25
30 11 30
35 10 35

f3(S3,X3)=P3(X3)+f4(S3-X3)
n=3 S3/X3 f3*S3 X3*
0 5 10 15 20 25 30 35
0 43 43 0
5 39 40 39 0
10 36 36 37 36 0/5
15 34 33 33 35 33 5/10
20 32 31 30 31 34 30 10
25 30 29 28 28 30 33 28 10/15
30 29 27 26 26 27 29 32 26 10/15
35 28 26 24 24 25 26 28 31 24 10/15

f2(S2,X2)=P2(X2)+f3(S2-X2)
n=2 S2/X2 f2*S2 X2*
0 5 10 15 20 25 30 35
0 63 63 0
5 59 59 59 0/5
10 56 55 56 55 5
15 53 52 52 54 52 5/10
20 50 49 49 50 52 49 5/10
25 48 46 46 47 48 51 46 5/10
30 46 44 43 44 45 47 50 43 10
35 44 42 41 41 42 44 46 50 41 10/15

f1(S1,X1)=P1(X1)+f2(S1-X1)
n=1 S1/X1 f4*S4 X4*
0 5 10 15 20 25 30 35
35 56 55 56 57 59 61 64 67 55 5

Allocation of
funds
Proj. 1 = 5 12
Proj. 2 = 10 13
Proj. 3 = 10 12
Proj. 4 = 10 18
total= 55

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