## NPTEL Project Management for Managers Week 6 Assignment Answers 2024

1. When is decision tree analysis useful?

- Where sequential decision-making in the face of risk is involved
- When there is no decision-making required
- Can be applied to any risk management problems.
- When parallel decision-making is required.

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2. Which one of the following is the third stage of technology transfer?

- Adoption
- Adaptation
- Absorption
- Diffusion

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3. When we apply simulation analysis?

- When the situation is highly uncertain, and the model is extremely difficult to build.
- When the situation is certain, and the model is extremely difficult to build.
- When the situation is certain, and the model is easy to build.
- When the situation is uncertain, a mathematical model is easy.

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4. What are chance forks?

- These are decision points where the outcome is dependent on decision points.
- These are chance points, where outcomes are dependent on a chance process.
- These are chance points, where outcomes are dependent on decision points.
- These are decision points where outcomes are dependent on the chance process.

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5. What is known as abandonment analysis?

- When a project is ended before its useful life because of the availability of more lucrative projects with higher returns.
- When a project is started near the end of PLC.
- When a project is ended before its useful life because of new projects with lower returns.
- When a project momentarily stops and again starts after a certain period of time.

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6. The life of the project is 7 years, and the initial investment is 60 lakhs. The offer price is 280 lakhs, and the expected rate of return is 15%. The salvage value is 60 lakhs after the project ends, while we go the offer price of a new project at the start of the third year. The projected and actual cash flow is provided in the table below. What is the present value factor at the end of 2nd year?

- 1
- 0.86
- 0.65
- 0.57

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7. What is the NPV of the problem?

- 1.12
- 1.22
- 1.32
- 1.42

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8. What would be the final decision, will the project be abandoned?

- Yes, the NPV is positive.
- Yes, the NPV is negative
- No, the NPV is positive
- No, the NPV is negative

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9. What is the diffusion stage of technology transfer?

- Modification by supplier before transfer to buyer as per his requirement.
- Modification by the buyer to make it suitable for himself.
- Unpacking technology by buyer to upgrade.
- Applying technology for other applications.

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10. For 5000 units, the investment is Rs. 1,000,000. What would be the investment for Rs. 10,000 units? Given α=0.85

- Rs. 1,808,500
- Rs. 1,820,500
- Rs. 1,802,500
- Rs. 1,802,050

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