During the summer, Olympic swimmer Adam Johnsonswims every day. On sunny summer days, he goes to anoutdoor pool, where he may swim for no charge. On rainydays, he must go to a domed pool. At the beginning of thesummer, he has the option of purchasing a $15 season passto the domed pool, which allows him use for the entiresummer. If he doesn’t buy the season pass, he must pay $1each time he goes there. Past meteorological records indicatethat there is a 60% chance that the summer will be sunny(in which case there is an average of 6 rainy days during thesummer) and a 40% chance the summer will be rainy (anaverage of 30 rainy days during the summer).Before the summer begins, Adam has the option ofpurchasing a long-range weather forecast for $1. Theforecast predicts a sunny summer 80% of the time and arainy summer 20% of the time. If the forecast predicts asunny summer, there is a 70% chance that the summer willactually be sunny. If the forecast predicts a rainy summer,there is an 80% chance that the summer will actually berainy. Assuming that Adam’s goal is to minimize his totalexpected cost for the summer, what should he do? Also findEVSI and EVPI.
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
During the summer, Olympic swimmer Adam Johnson
swims every day. On sunny summer days, he goes to an
outdoor pool, where he may swim for no charge. On rainy
days, he must go to a domed pool. At the beginning of the
summer, he has the option of purchasing a $15 season pass
to the domed pool, which allows him use for the entire
summer. If he doesn’t buy the season pass, he must pay $1
each time he goes there. Past meteorological records indicate
that there is a 60% chance that the summer will be sunny
(in which case there is an average of 6 rainy days during the
summer) and a 40% chance the summer will be rainy (an
average of 30 rainy days during the summer).
Before the summer begins, Adam has the option of
purchasing a long-range weather
forecast predicts a sunny summer 80% of the time and a
rainy summer 20% of the time. If the forecast predicts a
sunny summer, there is a 70% chance that the summer will
actually be sunny. If the forecast predicts a rainy summer,
there is an 80% chance that the summer will actually be
rainy. Assuming that Adam’s goal is to minimize his total
expected cost for the summer, what should he do? Also find
EVSI and EVPI.
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