Consider the Following Work Breakdown Structure What Is the Probability That the Critical Path for This

question 70

Multiple Choice

Consider the following work breakdown structure: $\begin{array}{r}{\text { Time Estimates (wks) }} \\\begin{array}{lccccc}& \text { Start } & \text { Finish } \\\text { Activity } & \text { Node } \quad\quad& \text { Node } \quad\quad& \mathrm{t}_{0} \quad\quad& \mathrm{t}_{\mathrm{m}} \quad& \mathrm{t}_{\mathrm{p}} \quad\\\hline \text { A } & 1 & 2 & 11 & 20 & 29 \\\text { B } & 2 & 3 & 2 & 5 & 8 \\\text { C } & 2 & 4 & 18 & 30 & 42 \\\text { D } & 3 & 4 & 7 & 10 & 13 \\\text { E } & 1 & 4 & 31 & 40 & 43\end{array}\end{array}$ What is the probability that the critical path for this project will be completed within 52 weeks?

• A) 0.1554
• B) 0.3108
• C) 0.3466
• D) 0.6554
• E) 0.8277

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Definitions:

Profit-Maximizing Output

The quantity of production that generates the highest possible profit for a firm, determined by the intersection of marginal cost and marginal revenue.

Price Equals Marginal Cost

This principle suggests that in a competitive market, firms set prices equal to their marginal cost of production, achieving economic efficiency.

Profit Maximization

The process or strategy aimed at achieving the highest possible profit where total revenue exceeds total costs.

Average Total Cost

The total cost of production divided by the number of goods produced, indicating the per unit cost of production.