A Project Being Analyzed by PERT Has 38 Activities,16 of Which

question 57

Multiple Choice

A project being analyzed by PERT has 38 activities,16 of which are on the critical path.If the estimated time along the critical path is 90 days with a project variance of 25,what is the probability that the project will be completed in 88 days or less?

• A)0.0228
• B)0.3446
• C)0.6554
• D)0.9772
• E)18

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Definitions:

Raw Material Input

Raw material input refers to the basic materials and components used in the production process of goods.

Split-off Point

The stage in a production process where joint products can be recognized as distinct and separate entities.

Joint Costs

Costs incurred in producing or procuring two or more products at the same time, where those costs cannot be easily attributed to individual products.

Incremental Revenues

The additional revenue generated from a particular action or decision, such as increasing product prices or expanding sales territories.