Problem 5 An engineering project management firm divides projects into three risk categories: 70% of projects are low risk, 20% are medium risk, and 10% are high risk. Based on historical data, a low risk has a 0.03 probability of not being completed on time, a medium risk project has a 0.11 probability of not being completed on time, and a high risk project has a 0.23 probability of not being completed on time. a. What is the probability that the project is low risk and is completed on time? b. What is the probability that a project is not completed on time? c. Given that the project was not completed on time, what is the probability that it was considered to be low risk?

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Chapter1: Combinatorial Analysis
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Problem 5
An engineering project management firm divides projects into three risk categories: 70% of
projects are low risk, 20% are medium risk, and 10% are high risk. Based on historical data, a
low risk has a 0.03 probability of not being completed on time, a medium risk project has a 0.11
probability of not being completed on time, and a high risk project has a 0.23 probability of not
being completed on time.
a. What is the probability that the project is low risk and is completed on time?
b. What is the probability that a project is not completed on time?
c. Given that the project was not completed on time, what is the probability that it was
considered to be low risk?
Transcribed Image Text:Problem 5 An engineering project management firm divides projects into three risk categories: 70% of projects are low risk, 20% are medium risk, and 10% are high risk. Based on historical data, a low risk has a 0.03 probability of not being completed on time, a medium risk project has a 0.11 probability of not being completed on time, and a high risk project has a 0.23 probability of not being completed on time. a. What is the probability that the project is low risk and is completed on time? b. What is the probability that a project is not completed on time? c. Given that the project was not completed on time, what is the probability that it was considered to be low risk?
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