An Activity on a PERT Network Has These Time Estimates

question 29

Multiple Choice

An activity on a PERT network has these time estimates: optimistic = 2, most likely = 3, and pessimistic = 8. Its expected time and variance (if it is a critical activity) are

• A) 3.67; 1.
• B) 3.67; 6.
• C) 4.33; 1.
• D) 4.33; 6.
• E) 43.3; 1.

Comprehend the variety of operations management decisions, from resource acquisition to product quality.

Acknowledge the principle that high performance is irreplaceable for career and organizational success.

Understand the relationship between technology, productivity, and competitive advantage.

Understand the steps to manage personal finances and investments during an economic crisis.

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Definitions:

Break-Even Sales

The amount of revenue from sales needed to cover all fixed and variable expenses, at which point a business neither profits nor loses money.

Contribution Margin Ratio

A financial metric indicating the portion of sales revenue that is not consumed by variable costs, represented as a percentage of total sales.

Monthly Fixed Expense

Regular, unchanging expenses that occur on a monthly basis, such as rent or salaries, regardless of business activity levels.

Target Profit

The amount of net income a company aims to achieve for a specified period as part of its financial and operational goals.