Which One of the Following Statements About Project Evaluation and Review

question 76

Multiple Choice

Which one of the following statements about Project Evaluation and Review Technique (PERT) is TRUE?

• A) The expected time is given and not computed using formulas.
• B) The probability of completing the project on time is 0 when the project target completion time equals the expected time.
• C) The normal probability distribution is not used in PERT methods.
• D) The variance in project duration is given by the sum of the variances of the critical path activities.

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Definitions:

Inventories

Items held by a company for the purpose of sale in the ordinary course of business, work in process, or materials to be consumed in the production process.

Historical Cost

The original monetary value of an asset or investment at the time it was acquired or made.

Accounting Equation

The fundamental principle of accounting that states Assets = Liabilities + Equity, balancing a company's financials.

Balance Sheet

A financial record that outlines the assets, liabilities, and owners' equity of a company at a given time.