Question
In: Statistics and Probability
A building contractor is preparing a bid on a new construction project. Two other contractors will...
A building contractor is preparing a bid on a new construction project. Two other contractors will be submitting bids for the same project. Based on past bidding practices, bids from the other contractors can be described by the following probability distributions:
| Contractor | Probability Distribution of Bid |
| A | Uniform probability distribution between $500,000 and $700,000 |
| B | Normal probability distribution with a mean bid of $600,000 and a standard deviation of $40,000 |
If required, round your answers to three decimal places.
- If the building contractor submits a bid of $650,000, what is
the probability that the building contractor will obtain the bid?
Use an Excel worksheet to simulate 1,000 trials of the contract
bidding process.
The probability of winning the bid of $650,000 = - The building contractor is also considering bids of 675,000 and
$685,000. If the building contractor would like to bid such that
the probability of winning the bid is about 0.6, what bid would you
recommend? Repeat the simulation process with bids of $675,000 and
$685,000 to justify your recommendation.
The probability of winning the bid of $675,000 =
The probability of winning the bid of $685,000 =
Solutions
orchestra answered 1 year agoRelated Solutions
Johnson Company is preparing a bid on a new construction project. Two other contractors will be...
Johnson Company is preparing a bid on a new construction
project. Two other contractors will be submitting bids for the same
project.
Based on past bidding practices, bids from other contractors can
be described by the following probability distributions:
Contractor A: Uniform probability distribution between $500,000
and $1,000,000.
Contractor B: Normal probability distribution with a mean bid of
$700,000 and a standard deviation of $100,000.
a. If Johnson Company submits a bid of $750,000, what is the
probability Butler will...
Problem 12-18 (Algorithmic) A building contractor is preparing a bid on a new construction project. Two...
Problem 12-18 (Algorithmic)
A building contractor is preparing a bid on a new construction
project. Two other contractors will be submitting bids for the same
project. Based on past bidding practices, bids from the other
contractors can be described by the following probability
distributions:
Contractor
Probability Distribution of Bid
A
Uniform probability distribution between $530,000 and
$730,000
B
Normal probability distribution with a mean bid of $630,000 and
a standard deviation of $43,000
If required, round your answers to three...
Cary Construction Inc. is preparing to bid on a job building a new dorm fo the...
Cary Construction Inc. is preparing to bid on a job building a
new dorm fo the local college. Cary expects that the job will
require $850,000 of direct materials, $500,000 of direct labor, and
$425,000 of overhead costs. Administrative and other expenses for
the job are expected to be $2,000. On average last year, Cary
Construction earned about $250,000 profit on a job this size and
would like to increase the profit by 5 percent on new contracts.
Cary normally...
Question: Facts: Bill, a contractor in Brentwood, New York, prepared a bid for construction of an...
Question: Facts: Bill, a contractor in Brentwood, New York,
prepared a bid for construction of an office bu... Facts: Bill, a
contractor in Brentwood, New York, prepared a bid for construction
of an office building for Fred. In preparation of his bid, Bill
asked Sam, a tile manufacturer in Setauket, New York, for a quote
on tile to Bill's specifications. On October 27, 2006, Sam returned
a statement on his letterhead with a quote of $8,000.00 which
stated that the...
Question: Facts: Bill, a contractor in Brentwood, New York, prepared a bid for construction of an...
Question: Facts: Bill, a contractor in Brentwood, New York,
prepared a bid for construction of an office bu... Facts: Bill, a
contractor in Brentwood, New York, prepared a bid for construction
of an office building for Fred. In preparation of his bid, Bill
asked Sam, a tile manufacturer in Setauket, New York, for a quote
on tile to Bill's specifications. On October 27, 2006, Sam returned
a statement on his letterhead with a quote of $8,000.00 which
stated that the...
A power company is preparing a bid to become the lead contractor on a nuclear power...
A power company is preparing a bid to become the lead contractor
on a nuclear
power plant in Japan. The plant will be part of a new generation
of smaller-scale “pocket”
power plants. It is estimated it will cost $2,620 million to
construct and make operational —
including all the design work, safety testing, hiring and
training of staff, and equipment. It is
expected to generate cash of about $390 million per year for 10
years, at which point it...
A power company is preparing a bid to become the lead contractor on a nuclear power...
A power company is preparing a bid to become the lead contractor
on a nuclear power plant in Japan. The plant will be part of a new
generation of smaller-scale “pocket” power plants. It is estimated
it will cost $2,620 million to construct and make operational
—including all the design work, safety testing, hiring and training
of staff, and equipment. It is expected to generate cash of about
$390 million per year for 10 years, at which point it will...
On March 1, 2020, Reed hired a contractor to construct a new office building. The construction...
On March 1, 2020, Reed hired a
contractor to construct a new office building. The construction
work commenced on April 1, 2020, and it is expected to continue
through July 31, 2022, the estimated completion date. Reed made
progress payments to the contractor in 2020 as follows:
Date
Amount
April 1
$ 48,000
June 1
195,000
September 1
322,000
November 1
67,000
$632,000
As stated in A5 above, Reed took a 1-year, 9%, $225,000
construction loan to help fund the...
package construction; public class Bid{ private String contractor; private float price; public Bid(String contractor, float price)...
package construction;
public class Bid{
private String contractor;
private float price;
public Bid(String contractor, float price) {
this.contractor = contractor;
this.price = price;
}
public String getContractor() { return contractor; }
public float getPrice() { return price; }
}
package construction;
public class ContractorBids{
// assume proper variables and other methods are here
public void winningBid(Bid[] bids, int numBids){
/****************************
* your code would go here *
****************************/
}
}
You are doing renovations on your building, and multiple
contractors...
You are the project manager responsible for a new building construction in northern Virginia. The building...
You are the
project manager responsible for a new building construction in
northern Virginia. The building is worth $500,000 and will have
five bedrooms, a kitchen, landscaping, and a two-car garage to be
completed in two years. This was agreed upon in a firm fixed
contract. During the execution (construction) of the building, you
realize that the cost of materials have gone up by 10%, and your
schedule is behind by 90 days due to delays from county inspections
and...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- A project has an initial cost of $65,475, expected net cash inflows of $12,000 per year...
- Make a program that lets the user enter a positive or negative integer as many times...
- using java, parse a text file to be able to list the word(s) with the highest...
- Consider the following linear programming problem: Maximize 10X + 8Y Subject to: 40X + 24Y <=...
- Gladstone Company tracks the number of units purchased and sold throughout each accounting period but applies...
- Think about a company you have worked for, either currently or in the past. Reflect upon...
- 1) X Bank has $1 million in new funds that must be allocated to mortgage (home)...
ADVERTISEMENT