Section-1 [40 marks] Answer all the questions in this section. dentify the choice that best completes the statement or answer the question by cycling or icking your answer Crucial to project financing. assure that a market exists for the project's outputs A construction contracts B. offtake contract C financial contract D. concession contract 2. Assume that your actual costs are $1,000. your planned value is $1.200 and your earned value is $1.500 Based on these data, what can be determined regarding your schedule variance? AL-S300, the physical progress is being accomplished at a slower rate than is planned, indicating an unfavourable situation b. At+$300, the situation is favourable, as physical progress is being accomplished ahead of your plan At +5500, the situation is favourable, as physical progress is being accomplished at a low cost than was forecasted d. At-$300you have a behind schedule condition, and your critical path has slipped 3. Your new project will cost $50,000 including shipping installation and start-up. The project will come a gross savings of $100.000 to your organisation. What is the nct present value of the savings if they occur one year after the expenditure for the project! Assume a 10% interest rate A. $90.000 B. $40,909 C 545 555 D. $91,110 4. All of the following are true about the Special Purpose Vehicle (SPV), except A is formed specifically to build and operate the project B. is created as an independent legal entity C is created as a dependent legal entity D. forms the basis for the project viability 5. You are trying to decide whether to lose or buy an item for your project. The daily lease contis To purchase the item, the investment cost is 60,000gbc and the daily maintenance cost is 100ghe. How long will it take for the lease cost to be the same as the purchase cost A. 100days B. 125days C. 150days D. 175days 6. The following formulae can be used to calculate Estimate at Completion (EAC).except! AC+(BAC-EV) d. AC (BAC EV)/(CPIX SPD a BACCPI BAC - AC