A job completion time follows a triangular distribution and can be accurately estimated for the project manager. The most likely completion time is 10 days (m), the most optimistic estimate of completiontime is 5 days (a), while the most pessimistic estimate is at 18 days (b).
1. Compute the Expected completion time for this job:
2. Compute the variance for this job:
3. Determine the probability of completing the job between 3-8 days.
4. The vendor earns $1,000 for a job completed within 8 days, but loses $250 for any job completed after 8 days. Compute the expected profit/loss for the vendor performing the same job 1000 times.