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Richard Wilson, president of Sheridan Always, agrees to construct a concrete cart path at Sunny Golf Club. Sheridan Always enters into a contract with Sunny
Richard Wilson, president of Sheridan Always, agrees to construct a concrete cart path at Sunny Golf Club. Sheridan Always enters into a contract with Sunny to construct the path for $ In addition, as part of the contract, a performance bonus of $ will be paid based on the timing of completion. The performance bonus will be paid fully if completed by the agreedupon date. The performance bonus decreases by $ per week for every week beyond the agreedupon completion date. Richard has been that he will receive a good portion of the performance bonus. Richard estimates, given the constraints of his schedule related to other jobs, that there is probability that he will complete the project on time, a probability that he will be week late, and a probability that he will be weeks late.
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