Question: Hardhat Construction Co . just bid on a commercial project. The bid was based on a normal distribution representing Hardhat's estimates of possible costs for

Hardhat Construction Co. just bid on a commercial project. The bid was based on a normal
distribution representing Hardhat's estimates of possible costs for the project. The mean is $6.5
million, with a standard deviation of $1.1 million. How likely is it that the project costs will be:
a. between $5 and $6 million?
b. no more than $7.2 million?
c. If Hardhat Construction is awarded the contract and will receive $10 million, what is the
chance that they will have profits of less than $1.5 million?
d. there is a 5% chance that the costs will be over
 Hardhat Construction Co. just bid on a commercial project. The bid

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!