The owner of a chain of fast-food restaurants is considering a new computer system for accounting and inventory control. A computer company sent the following information about the system installation

(a) Construct an arrow diagram for this problem, determine the critical path and state the expected project completion time.

(b) Determine the probability that the project will be completed in 55 days.

(c) If the company wants to be 90% sure that the system will be installed by a certain due date, how many days prior to that should it start the work?

(d) Suppose the company agrees to install the computer system in 50 days, failing which it would pay a penalty of Rs 500 per day. What is the probability that a penalty, but not exceeding Rs 2,000, will be paid?

(e) Obtain in earliest and the latest scheduling times of the various activities.

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Activity Identification Activity Description Select the computer model Design input/output system Design monitoring system ABCDEFGHI Assemble computer hardware Develop the main programs Develop input/output routines Create database Install the system Test and implement Immediate Time Predecessor Most Most Most Optimistic Likely Pessimistic - 4 6 8 D, F G, H AAB BCEE 5 7 15 4 8 12 15 20 25 10 18 26 8 1826 416 7 16 12 3 8