S800" “S267 aha January 2019 N-226 Master of Business Administration (MBA) Examination (Full Time} (New) Third Semester FT-302C : PROJECT MANAGEMENT ‘Time 3 Houra] Noto: 1. Discuss the characteristics of a Project, Explain 2. Discuss various seluction of a project, 3. Discuss Financial Feasibility: cost at'a project ? How proj 4. What are various criteria’s for project sclection ? Hig! Section A 8 project, How the project is being monitored ? Saviog (Rs 8,000 Section B 1. ABC Ltd. is considering a project with following cash Hows : ‘ear Purchase of Running Cost Plant (Re.) (Bs) 0 v7,000) = 1 - 2,000 2 - 2,500 ‘The cost of capital BR Measure the sensitivity of the praject to changes in the levels of Plant valuc, coats, and savings (Considering each faetar at # time) such that tho net present value becomes zero. What factor is most sensitive ta affect the acceptability of the project. The present value factor at 8% are ; 0.93 (at year-end 1) und 0, AG (at year-end 2), 7,000 2. A company has three choices between three projects X, Y, 2: Project ‘Market demand (Profits), Rs. in ee Pe x 190 30 Y 0 220 Zz 150 140 The probabilities are: D,=0.6, D,=0.2, Dy (Mux, Marks 80 Altempt any two questions from Section A and any three questions from Bection B. ferent phases of project life cycle. ight on technical and market unalysis during ‘of project with and without Risk ? What are various determinants of the is boing Appraised ? Project manager skills and functions ? Highlight on Social Cast Benefit Analysis of (a) Which project should be undertaken if deeision is made by ‘expected value’ approuch? (b) Calculate the ‘expected value’ of perfect informution. Better Budgets Id. are preparing their budgets for the they would not like to (ake any incorporate them in the budget ‘Their considered estimates ure as under : year 200X. In the preparation of the budget, ‘chanee, but would like to envisage all sorts af possibili ties and Possibilities Sales Per unit Fixed Cost (units), |/———— 7 Per Annum Sale price | Material | Labour | Variable Rs, Rs. cost Rs, | cost Rs. | cost Re. | (a) Ifthe worst 8,000 19 9 2 150 | 60,000 * possible happens - | (b) If the best possible | 15,000 20 7 3 1.00 | 48,000 | happens _ _| i |o [fitis most likely | 10,000 3 sn00_ | 2 1.00 50,000 20 8 LS ‘There is a 20% probability that the worst will happen, a 10% probability that the best will happen, and a 70% probability that the most likely outcome will occur. P.O.. 2 N-226 4. Frustrated Lid. observes thot the sates for the past few years and its profits have been around in the (9) Although fallowing figures : Rr. Sales 15,00,000 : Marginal Cost 5,00,000 Contribution 70,00,000 Fixed Cost ,00,000 Profit 10,000 Im preparing the budget for the your YOOX, there is uncertainty about several prints nf importance au under: (2) 1t bas submitted offer fur twa contracts, each to overseas custamers, Contract A Contruct B Sales Value (Rs) 5,00,000 300,000 For each of these entracts, the vuriable costs (including selling and distributivn costs) would be 40% of sales value. Total fixed cust wauld be unaflected by the cuntracts, ‘The campany hopes to win both cuntructs, laut Chinks it more likely that it will win contract A but not contract 8, (2) A new product is due to be introduced in (he year 200X. Expected sales are Rs, 30,000 per menth vith variable costs 80% of sales and fixed costs Rx, 5.009 por month. The mast likely date fur the introductian of new product is middle of the yenr 200X, but could be introduced at the end of fourth month ur as tate ad the end of ninth month, expected on balance that sales price and casts will not go up, there is 2 reasonable Possibility hot variuble costa on the current prolactin runge will go up by 10%, Prepare a pessimistic and optimistic budget for the company for the year 200%, A project involving an initial wutlay of Rs 10,000 has the following benefits askocieted with it: Year 1 Year 2 Year 3 Neteah Probability © Neteash Probability Noteash Probability flow Re. How Rte. flow Rs 3,000 ws 2,000 of 3.000 os 5,000 of * 4,000 06 5,000 oa 7.000 on 6.0 02 7,000 03 Calculate : (u) Expected Net Present Value and {b) Standard Deviation of net present value, assuming that i =6 per cent. http://www.davvonline.com Whatsapp @ 9300930012 Your old paper & get 10/- gual duet ster atte 10 sod ord, Paytm or Google Pay &