Table 39
All Activity Times for the Project Are in Weeks

question 43

Multiple Choice

Table 3.9
All activity times for the project are in weeks.
$$\begin{array} { | c | c | c | c | c | } \hline \text { Activity } & \begin{array} { c } \text { Optimistic } \\\text { Time }\end{array} & \begin{array} { c } \text { Most Likely } \\\text { Time }\end{array} & \begin{array} { c } \text { Pessimistic } \\\text { Time }\end{array} & \begin{array} { c } \text { Immediate } \\\text { Predecessor(s) }\end{array} \\\hline \text { A } & 3 & 4 & 5 & \cdots \\\text { B } & 5 & 7 & 9 & - \\\text { C } & 2 & 3 & 10 & \text { A } \\\text { D } & 2 & 5 & 8 & \text { B } \\\text { E } & 1 & 7 & 7 & \text { B } \\\text { F } & 3 & 5 & 7 & \text { C,D } \\\text { G } & 7 & 8 & 9 & \text { D,E } \\\text { H } & 2 & 6 & 10 & F \\\hline\end{array}$$
-Using Table 3.9,if the expected time for activity E is changed to 9 weeks,by how many weeks will the projects expected completion time increase?

• A) It will not change.
• B) It will increase by 1 week.
• C) It will increase by 2 weeks.
• D) It will increase by 3 or more weeks.

---

Definitions:

Call Option

A financial contract that gives the holder the right, but not the obligation, to buy a specified quantity of an underlying asset at a predetermined price before a specified date.

Intrinsic Value

Intrinsic value refers to the actual value of a company, stock, currency, or product determined through fundamental analysis without reference to its market value.

Vertical Spread

An options trading strategy that involves buying and selling of two options of the same type and expiry date but different strike prices.

Time Spread

A strategy in options trading that involves buying and selling options on the same asset with the same strike price but different expiration dates.