Question 1 Stone Ltd. has just accepted a project from one of its customers Good4You Ltd. The project can be broken down into the following eight activities. Immediate Predecessor(s) Activity A B D E F G H B B AC DE A,C H Activity time (days) Optimistic Most likely Pessimistic 4 11 12 45 48 63 13 33 35 25 29 39 14 21 22 18 32 34 17 19 27 15 20 25 a. Draw the network diagram for this project. b. Determine the mean (expected value) and variance of each activity time. C. Determine the earliest start, earliest finish, latest start, and latest finish times for each activity using the mean activity time. d. What is the critical path of this project? e. What is the expected completion time of the project? f. John Hamilton, the managing director of Stone Ltd. wants to find the due date that guarantees a 88% chance of on-time completion. Find the due date that the company to promise to its customer. g. Find the probability that the project will be completed in 125 days. Question 2: Bolling Electronics manufactures DVD players for commercial use. The president of Bolling Electronics, is contemplating producing DVD players for home use. The activities necessary to build an experimental model and related data are given in the following table: Activity Immediate Normal time Crash time Normal cost Crash cost Predecessor(s) (weeks) (weeks) ($) ($) A 3 2 1000 1600 B 2 1 2000 2700 1 1 300 300 D A 7 3 1300 1600 E B 6 3 850 1000 F 2 1 4000 5000 G DE 4 2 1500 2000 a. Find the project completion time and the cost under normal working condition. b. Bolling Electronics want to complete the project in 10 weeks. Find the minimum cost to complete this project in 10 weeks