Question: VP Manufacturers is considering renovating their offices at their Durban head office. 3.1 Use the generated information to calculate the NPV of the project, to

 VP Manufacturers is considering renovating their offices at their Durban head

VP Manufacturers is considering renovating their offices at their Durban head office. 3.1 Use the generated information to calculate the NPV of the project, to decide whether to go ahead with the project. Investment required R200 000 Expected economic lifetime 5 years. Minimum required rate of return 10% Net annual cash inflows 1st year R40 000 2nd year R100 000 3rd year R90 000 4th year R40 000 Sth year R30 000 3.2 VP Manufacturers has decided to go ahead with the project. The following activities has been determined for the office renovation project. Construct a network diagram (AON) to create a graphical description of the operations and their relationship to each other. Identity the critical path for the project. TaskNumber Duratien [Days) Predecesners A 2 B A c 4 A 0 T T E B BO F 7 E Discount Factors This is the table that shows you the discount factors based on the interest rate and the number of years. E.g. at 10% in year 3 - discount factor is 0.7513, NN NS U NN ESEEEESEREEem o owe

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