Activities of a bottling firm

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The following network gives details about the various activities carried out in a bottling firm for their latest project and the time required for each activity. The average cost incurred in each activity is 5 times the square of the duration of the activity. If the organisation wants to reduce the duration of any particular activity, in addition to the average cost, it will have to incur an amount equal to 15 times the cube of the new duration of the activity.

1. The completion of one cycle of the network results in one bottle ready to be sold in the market. The project involves a total of 800 bottles. What is the average cost of the entire project?
(a) Rs. 74400
(b) Rs. 372000
(c) Rs. 15000
(d) Rs. 18500
2. If profit is defined as the difference between the selling price and the average cost, and each bottle is sold for Rs. 510, what is the approximate percent profit earned by the firm?
(a) 5%
(b) 10%
(c) 15%
(d) 17.5%

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