Refer to Exercise 5.35, but suppose that the projects are scheduled consecutively with A in the first year and B in the second year. The company's chance of winning project A is still .50. Instead of the assumption of independence, now assume that if the company wins project A, its chance of winning B becomes .80 due to a boost of its image, whereas its chance drops to .40 in case it fails to win A. Under this premise, do parts (a)-(c).
In Exercise 5.35
A construction company submits bids for two projects. Listed here are the profit and the probability of winning each project. Assume that the outcomes of the two bids are independent.

(a) List the possible outcomes (win/not win) for the two projects and find their probabilities.
(b) Let X denote the company's total profit out of the two contracts. Determine the probability distribution of X.
(c) If it costs the company $2000 for preparatory surveys and paperwork for the two bids, what is the expected net profit?

Chance of Winning Bid .50 65 Profit Project A Project B $175,000 $220,000