Consider the Following Work Breakdown Structure What Is the Estimated Standard Deviation in the Time for

question 109

Multiple Choice

Consider the following work breakdown structure: $\begin{array}{cccccc}&\text { Start }&\text { Finish }&&\text { Duration (Days) } \\\text { Activity } & \text { Node } & \text { Node } & \text { Optimistic } & \text { Most Likely } & \text { Pessimistic } \\\hline \text { A } & 1 & 2 & 41 & 50 & 59 \\\text { B } & 1 & 3 & 54 & 60 & 66 \\\text { C } & 2 & 4 & 58 & 70 & 82 \\\text { D } & 3 & 4 & 32 & 41 & 44\end{array}$ What is the estimated standard deviation in the time for activity D?

• A) 0 days
• B) 2 days
• C) 3 days
• D) 4 days
• E) 12 days

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Definitions:

Risk-Free Rate

The theoretical rate of return of an investment with zero risk of financial loss, often represented by the yield on government bonds.

Beta

A measure of a stock's volatility in relation to the overall market, indicating the stock's susceptibility to market movements.

Alpha

A measure of an investment's performance on a risk-adjusted basis, indicating how much better or worse it did compared to a benchmark index.