In option 3: roof is very important because it is the premise of many items. Use 3 ca work with costs do overtime can reduce construction time adds 6 weeks increased cost only $ 9,000.-With 50% probability: i.e. when no what happened, the project remains on schedule, when in December conditions were colder as forecasters as well as in normal weather conditions, the company only takes+ In December conditions forecast normally is: $ 9,000+ In the December cold weather conditions more than: $ 9,000 + $ 165 * 4 (heat equipment costs * 4 weeks) = $ 9,668-With probability 35%( 8-week strike) project was delayed takes 8 weeks.+ Additional management costs: $ 500 * 8 = $ 4,000+ Being slower than expected loss of 4 weeks (max is 52 weeks) in this time the project is completed 56 weeks. That is, the penalty is: $ 15,000 * 4 = $ 60,000+ With the costs in the case 3 is $ 9,000. So the total money lost in December was $ 4,000 + $ 60,000 + $ 9,000 = $ 73,000-Also when 8-week strike in December, then colder conditions because were on strike so will not need heat equipment rental costs. Thus, the total money lost in December if the temperature is colder still is $ 73,000. -With probability 15%( 12-week strike) project was delayed takes 12 weeks.
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