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Uchunguzi Ltd. plans to conduct a questionnaire survey. The table below shows the tasks involved, the immediately proceeding tasks and for each task duration the...

      

Uchunguzi Ltd. plans to conduct a questionnaire survey. The table below shows the tasks involved, the immediately proceeding tasks and for each task duration the most likely estimate (L), optimistic estimate (O) and the pessimistic estimate (P).
fig3885408.png
Using the project evaluation and review technique (PERT) the meantime, M and standard
deviation O. for the duration of each task are estimated from t he most likely (L), Optimistic
(O) pessimistic (P) estimates by using the formulae:
M = 0.08333 (4L + O + P)
O = 0.08333 (P – O)
Required:
a) Compute the mean duration and standard deviation for each task.
b) The project is budgeted to cost Sh.500,000. Actual costs per day are Sh.10,000.
Can the project be implemented within the budget?

  

Answers


Kavungya
fig3985408.png
fig4085409.png
Kavungya answered the question on May 8, 2021 at 13:09


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    (c) Advise the board on the best policy.
    (d) State the assumptions of the quantitative technique used in solving problems (a) and
    (b) above.

    Date posted: May 7, 2021.  Answers (1)

  • Pwani Marine Ltd., a boat construction company, has developed a new type of speed boat called “Speed Surf.” The following information has been availed to you: 1. Boat...(Solved)

    Pwani Marine Ltd., a boat construction company, has developed a new type
    of speed boat called “Speed Surf.”
    The following information has been availed to you:
    1. Boat construction is a continuous assembling process carried out at
    the company‟s yard.
    2. Boat assembling is labour intensive involving the use of two classes of
    labour namely:
    Skilled labour at a standard rate of Shs. 1,250 per hour.
    Semi-skilled labour at a standard rate of Shs. 950 per hour.
    3. Experience on boat construction from other models indicates that the use of
    skilled labour is associated with an 80% learning curve effect whereas use of
    semi-skilled labour is associated with a 90% learning curve effect.
    4. Labour usage for the first speed boat assembled was as follows:
    Skilled labour – 952 hours.
    Semi-skilled labour – 650 hours.
    5. In October 2005, the sixth and the seventh speed boats were assembled
    from start to finish. During the month, the following labour usage and costs
    were recorded:
    Skilled labour – 680 hours at a total cost of Shs. 800,400.
    Semi-skilled labour – 1,256 hours at a total cost of Shs. 1,281,200.
    The management of Pwani Marine Ltd. is concerned about the cost variances and
    would like to learn more on the composition of the variances.
    Required:
    (i) Calculate the standard labour cost of the month of October 2005.
    (ii) Reconcile the standard cost with the actual cost for the month of October
    2005 showing the labour rate and labour efficiency variances.
    (iii) Express the labour efficiency variance in terms of labour mix and labour
    output variances. (Value the labour mix variances using standard rates).

    Date posted: May 7, 2021.  Answers (1)

  • Explain the applications of the learning curve.(Solved)

    Explain the applications of the learning curve.

    Date posted: May 7, 2021.  Answers (1)