Please answer the quetion

Please answer the quetion
Arbaminch Univesity School of graduate studies Department of Management Project Management Explain feasibility analysis. What is the NPV? . . . the B/C? . . . the IRR? What is the criterion for project acceptability for the NPV? . . . for the B/C? . . . for the IRR? How is the IRR of a project generally calculated? Why is the IRR generally not a good way to evaluate investment alternatives? Consider the following investment. You invest $500 per acre to establish a stand of trees. At the end of each year for 30 years, you incur an annual management expense of $10. At the end of 30 years, you receive $5,000 per acre in stumpage fees. Calculate the NPV and B/C ratio for this investment. Calculate the internal rate of return on this investment to the nearest tenth of a percent. Given below are the after-tax incremental cash flows for Projects A and B. Note the similarity between the two projects. End of Year Projects Project A -10,000 -50000 60,000 20,000 30,000 15,000 Project B -10,000 50,000 -60,000 40,000 30,000 20,000 Calculate the NPV at 20% for each project. Calculate the IRR(s) for the two projects. If you had to invest in one of the projects, which project would you prefer and why? The Rover 6 is a new custom-designed sports car. An analysis of the task of building the Rover 6 reveals the following list of relevant activities, their immediate predecessors, and their duration. Letter Normal Description Immediate Predecessor(S) Time (Days) B Design Order special accessories B D Build frame Build doors Attach axles, wheels, gas tank Build body shell Build transmission & drivetrain Fit doors to bodyshell G, E Build engine Bench-test engine Assemble chassis L Paint body I Install wiring N Install interior Accept delivery of special accessories Mount body and accessories on the chassis M, O, N, Q Road test Attach exterior trim