Activity Immediate Predecessor Exact month where the Activity will be executed Duration (days) Cost given by the sponsor Historical cost (See page 2) Calculate for the year 2011 Cost given by the team Risk A 1 $ 1,000.00 $ 1,200.00 B A 3 10 $ 1,800.00 $ 2,000.00 C A 2 15 $ 1,100.00 $ 1,500.00 D A 2 15 $ 200.00 $ 250.00 E C 3 12 $ 500.00 $ 760.00 F C , D 3 14 $ 1,200.00 $ 1,900.00 G B 4 15 $ 1,600.00 $ 2,300.00 H E , F 4 5 $ 670.00 $ 890.00 I G , H 5 6 $ 820.00 $ 1,100.00 J I 6 7 $ 1,234.00 Draw the diagram (Note: it is VERY important that you consider the months of execution of the activities, this will give you a clear idea if the activities are done in parallel or not, i.e. the exact position of the activity in the space of time). 2. Calculate the total duration of the project. 3. Calculate the total cost of the project, to do this consider the following actions: 3.1. Calculation of historical cost using linear regression analysis for the year 2012. 3.2 Calculating cost per activity by weighted average (Te) (Pert). 3.3 Calculation of the standard deviation for the activity. 3.4 For high-risk activities, add to the cost of the activity (Te), the standard deviation. 3.5 For activities within the critical path, also add the standard deviation. If the critical path activity is also high risk, only add the standard deviation once. 4. What is the probability that the project will cost $12,000? For this, you must calculate Z . Note: Te will be the total value of the costs (Answer # 3) and Sigma is the sum of all the Te squared. See attached presentation. Note 2. It is not the same as the schedule, which only adds the value of the critical path, in this case, Te is calculated with the entire budget.