Q$\mathrm{.}1-$ Please calculate the Net Present Value $($NPV$)$

According to the PayBack Methodology when comparing projects, please compare Project A and Project B

Which project would you choose after calculating the NPV

Which one has a positive NPV and which one has negative NPV

Project A

Investment outflow $500,000$

Rate of return $10\%$

Annual return inflow $100,000$

Five$-$year project

Project B

Investment outflow $700,000$

Rate of return $15\%$

Annual return inflow $150,000$

Five$-$year project

Period

Project A

Project B

Year $1$

Year $2$

Year $3$

Year $4$

Year $5$

TOTAL

Q$.2-$ Please draw a network diagram for the following table of dependencies.

How many days will the project take?

Which activities have slack?

What is the critical path?

ID

Predecessor

Duration $($days$)$

A

$-$

$3$

B

A

$2$

C

B

$5$

D

B

$7$

E

C

$4$

F

D

$3$

G

E & F

$6$