To determine the effect of transverse open crack on the dynamic behavior of simply-supported Euler-Bernoulli beam with the moving masses, an iterative modal analysis approach is developed. The influence of depth and position of the crack in the beam, on the dynamic behavior of the simply supported beam system, have been studied by numerical method. The cracked section is represented by a local flexibility matrix, connecting two undamaged beam segments that is, the crack is modeled as a rotational spring. This flexibility matrix defines the relationship between the displacements and forces across the crack section, and is derived by applying a fundamental fracture mechanics theory. As the depth of the crack is increased, the mid-span deflection of the simply-supported beam, with the moving mass, is increased. The crack is positioned in the middle point of the pipe, and the mid-span defection of the simply-supported pipe represents maximum deflection.