The project described in the following table has just begun. It is scheduled to be completed in 11 weeks.
a. If you were the manager of this project, would you be concerned? Explain.
b. If there is a penalty of $5,000 a week for each week the project is late, what is the probability of incurring a penalty of at least $5,000?
|
Activity
|
Estimated Time(weeks)
|
Standard Deviation (wks.)
|
|
1-2
|
4
|
0.70
|
|
2-4
|
6
|
0.90
|
|
1-3
|
3
|
0.62
|
|
3-4
|
9
|
1.90
|