2. The total cost of the building to house the MBA programme is estimated at R25m. It will include administrative offices, lecture theatres, meeting rooms, recreational spaces and a restaurant. The university council has given the go-ahead for the project on condition that the Programme generates enough funds to cover the building costs within 9 years from anticipated student fees after taking into consideration operating costs. Student fees are estimated at R5,5m per annum and total operating costs are estimated at R2,5m. Base on your estimate, would the MBA programme meet the condition laid down by the university council? (Hint: the constant annual fees net of costs should inform you of the approach you need to take in valuing the project, alternatively, a discounted cashflow approach may also be considered)