Question

International Capital, Inc. (IC), is a small investment banking firm that specializes in securing funds for small- to medium-sized firms. IC uses a standardized project format for each engagement

Activity	Description	Predecessor	a opt	m ml	b pess
1	Start story draft using template	None	9	12	16
2	Research client firm	None	6	12	14
3	Create “due diligence” rough draft	1, 2	8	12	20
4	Coordinate needs proposal with client	3	20	24	32
5	Estimate future demand and cash flows	3	14	16	35
6	Draft future plans for client company	5	8	14	18
7	Create and approve legal documents	3	12	18	34
8	Integrate all drafts into first-draft proposal	4, 6, 7	10	14	18
9	Line up potential sources of capital	7, 6	8	16	24
10	Check, approve, and print final legal proposal	8	8	10	18
11	Sign contracts and transfer funds	9, 10	18	26	42

1. Create a network for the project

2. Compute the expected time for each activity.
3. Compute the variance for each activity.
4. Compute the expected project duration.
5. What is the probability of completing the project by day 83?  

Answer 1