INF3708 Oct/Nov 2024 exam paper — questions

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  1. Question 1.1 · The project manager and process · 16 marks

    E-GREEN is working to create and roll out a sustainable system for disposing of electronic waste (e-waste), aiming to tackle the increasing problem of discarded electronic items such as computers, phones and other gadgets that can damage the environment if mishandled. In 2023, E-GREEN launched a project allowing tech-users to drop off and sell broken electronic devices at its workshops, but this project failed because users continued to store unused devices in drawers at home or throw them out with ordinary household trash, and were generally unwilling to make the effort of travelling to workshops to dispose of e-waste. In 2024, E-GREEN decided instead to partner with local business communities and government entities to raise awareness, provide accessible collection points, and ensure proper recycling processes that recover valuable materials while safely disposing of hazardous components. As part of this new approach, E-GREEN will this year install e-waste disposal capsules near the entrances of large retail stores such as Game, Makro, Spar, Pick n Pay and Checkers. The project management office (PMO) is currently busy drafting the project charter, which will, among other things, set out the SWOT (strengths, weaknesses, opportunities and threats) of the project. Carry out a SWOT analysis of the E-GREEN e-waste disposal project described above, identifying its strengths, weaknesses, opportunities and threats (4 marks are allocated to each of the four SWOT elements, giving 4 x 4 = 16 marks in total).Show the full question

  2. Question 2.1.1 · Evaluation and investment appraisal · 6 marks

    The scenario described in the case concerns E-GREEN's Project-Dropoff, the e-waste capsule initiative already discussed. A pilot study into Project-Dropoff revealed that tech-users may not reliably drop off broken or old devices before or after shopping, so the project management office (PMO) designed a rival initiative called Project-Collect. Rather than installing e-waste capsules at shopping centres, Project-Collect would use drivers on scooters with load boxes to collect old tech directly from people's homes, with the lump-sum investment covering the purchase of scooters and the design of a booking/scheduling app. For Project-Dropoff, the lump-sum investment instead covers installing the e-waste capsules. In both projects, cash inflows arise from revenue generated by selling pre-owned devices or repairing broken ones. Table 1 sets out the cash flow details for Years 0 to 5 together with the applicable discount factor for each year: Year 0 has a discount factor of 1, with Project-Dropoff cash flow of -R200 000.00 and Project-Collect cash flow of -R110 000.00; Year 1 has a discount factor of 0.91, with both projects showing a cash flow of R52 000.00; Year 2 has a discount factor of 0.83, with both projects showing R110 000.00; Year 3 has a discount factor of 0.75, with both projects showing R133 000.00; Year 4 has a discount factor of 0.68, with both projects showing R160 000.00; and Year 5 has a discount factor of 0.62, with both projects showing R200 000.00. A footnote instructs that, for all Question 2 calculations, students must only write down the final answer and must not display the formula or the sequence of calculations leading to it. Using the cash flow and discount factor figures given in Table 1 for Project-Dropoff (Year 0: -R200 000.00 at discount factor 1; Year 1: R52 000.00 at 0.91; Year 2: R110 000.00 at 0.83; Year 3: R133 000.00 at 0.75; Year 4: R160 000.00 at 0.68; Year 5: R200 000.00 at 0.62), calculate the annual discounted cash flow for each year of Project-Dropoff. Only the final answers should be written down, without showing the formulas or workings.Show the full question

  3. Question 2.1.2 · Evaluation and investment appraisal · 6 marks

    The scenario described in the case concerns E-GREEN's Project-Dropoff, the e-waste capsule initiative already discussed. A pilot study into Project-Dropoff revealed that tech-users may not reliably drop off broken or old devices before or after shopping, so the project management office (PMO) designed a rival initiative called Project-Collect. Rather than installing e-waste capsules at shopping centres, Project-Collect would use drivers on scooters with load boxes to collect old tech directly from people's homes, with the lump-sum investment covering the purchase of scooters and the design of a booking/scheduling app. For Project-Dropoff, the lump-sum investment instead covers installing the e-waste capsules. In both projects, cash inflows arise from revenue generated by selling pre-owned devices or repairing broken ones. Table 1 sets out the cash flow details for Years 0 to 5 together with the applicable discount factor for each year: Year 0 has a discount factor of 1, with Project-Dropoff cash flow of -R200 000.00 and Project-Collect cash flow of -R110 000.00; Year 1 has a discount factor of 0.91, with both projects showing a cash flow of R52 000.00; Year 2 has a discount factor of 0.83, with both projects showing R110 000.00; Year 3 has a discount factor of 0.75, with both projects showing R133 000.00; Year 4 has a discount factor of 0.68, with both projects showing R160 000.00; and Year 5 has a discount factor of 0.62, with both projects showing R200 000.00. A footnote instructs that, for all Question 2 calculations, students must only write down the final answer and must not display the formula or the sequence of calculations leading to it. Using the cash flow and discount factor figures given in Table 1 for Project-Collect (Year 0: -R110 000.00 at discount factor 1; Year 1: R52 000.00 at 0.91; Year 2: R110 000.00 at 0.83; Year 3: R133 000.00 at 0.75; Year 4: R160 000.00 at 0.68; Year 5: R200 000.00 at 0.62), calculate the annual discounted cash flow for each year of Project-Collect. Only the final answers should be written down, without showing the formulas or workings.Show the full question

  4. Question 2.2 · Evaluation and investment appraisal · 2 marks

    The scenario described in the case concerns E-GREEN's Project-Dropoff, the e-waste capsule initiative already discussed. A pilot study into Project-Dropoff revealed that tech-users may not reliably drop off broken or old devices before or after shopping, so the project management office (PMO) designed a rival initiative called Project-Collect. Rather than installing e-waste capsules at shopping centres, Project-Collect would use drivers on scooters with load boxes to collect old tech directly from people's homes, with the lump-sum investment covering the purchase of scooters and the design of a booking/scheduling app. For Project-Dropoff, the lump-sum investment instead covers installing the e-waste capsules. In both projects, cash inflows arise from revenue generated by selling pre-owned devices or repairing broken ones. Table 1 sets out the cash flow details for Years 0 to 5 together with the applicable discount factor for each year: Year 0 has a discount factor of 1, with Project-Dropoff cash flow of -R200 000.00 and Project-Collect cash flow of -R110 000.00; Year 1 has a discount factor of 0.91, with both projects showing a cash flow of R52 000.00; Year 2 has a discount factor of 0.83, with both projects showing R110 000.00; Year 3 has a discount factor of 0.75, with both projects showing R133 000.00; Year 4 has a discount factor of 0.68, with both projects showing R160 000.00; and Year 5 has a discount factor of 0.62, with both projects showing R200 000.00. A footnote instructs that, for all Question 2 calculations, students must only write down the final answer and must not display the formula or the sequence of calculations leading to it. Based on the annual discounted cash flows calculated for Years 1 to 5, determine the total discounted cash inflow for Project-Dropoff and the total discounted cash inflow for Project-Collect.Show the full question

  5. Question 2.3.1 · Evaluation and investment appraisal · 2 marks

    The scenario described in the case concerns E-GREEN's Project-Dropoff, the e-waste capsule initiative already discussed. A pilot study into Project-Dropoff revealed that tech-users may not reliably drop off broken or old devices before or after shopping, so the project management office (PMO) designed a rival initiative called Project-Collect. Rather than installing e-waste capsules at shopping centres, Project-Collect would use drivers on scooters with load boxes to collect old tech directly from people's homes, with the lump-sum investment covering the purchase of scooters and the design of a booking/scheduling app. For Project-Dropoff, the lump-sum investment instead covers installing the e-waste capsules. In both projects, cash inflows arise from revenue generated by selling pre-owned devices or repairing broken ones. Table 1 sets out the cash flow details for Years 0 to 5 together with the applicable discount factor for each year: Year 0 has a discount factor of 1, with Project-Dropoff cash flow of -R200 000.00 and Project-Collect cash flow of -R110 000.00; Year 1 has a discount factor of 0.91, with both projects showing a cash flow of R52 000.00; Year 2 has a discount factor of 0.83, with both projects showing R110 000.00; Year 3 has a discount factor of 0.75, with both projects showing R133 000.00; Year 4 has a discount factor of 0.68, with both projects showing R160 000.00; and Year 5 has a discount factor of 0.62, with both projects showing R200 000.00. A footnote instructs that, for all Question 2 calculations, students must only write down the final answer and must not display the formula or the sequence of calculations leading to it. Using the discounted cash inflows and the initial investment of -R200 000.00 at Year 0, calculate the net present value (NPV) of Project-Dropoff. Only the final answer should be written down, without showing the formula or workings.Show the full question

The full Spot Map and the marks by year — and this paper’s scan.