Prepare statements to show how the alternative values calculated in 12 b) answer to requirement (a) above would reflect in the performance measurement of the DP division and the Consulting division.QUESTION 2 [25 MARKS] Northern Atlantic fishing is considering the acquisition of a vessel to boost its vessel fleet for its coastal operations in Namibia during 2022. A Dutch ship manufacturer has quoted a price equivalent to N$11 million to manufacture and deliver the vessel to the company's specification. The company contracted a Dutch lawyer and Architect to draft the Agreement and design the specification of the ship to the tune of N$1.5 million. Profitability projections for the first three years of operations on the Namibian cost is as follows: 2023 2024 2025 Profit before tax (in millions) 5 6.5 8 Depreciation of the vessel in profit before tax is calculated on straight-line at 10% per annum and the Tax Authority grants wear and tear tax allowances on straight-line method for a three- year period (i.e., 33.3% per annum). Tax payment: half payable in the year incurred and balance in the following year. Northern Atlantic fishing also holds rights to a quota to be harvested at the coast in West Africa valued at N$8 million, which will require the use of a vessel. Due to the economic crunch its credit rating has deteriorated thus it is unable to borrow sufficient funds to acquire two different vessels for both operations. The finance team has determined that the West Africa fishing operation was going to yield cash profit after tax equivalent of N$2 million in the first year, increasing to N$2.8 million in the third year of operation. Absorbed/allocated overheads in the 2024 profit before tax amounts to N$100 000. Corporate tax in Namibia is 32% and the cost of capital of the company is 15%. REQUIRED MARKS a) Calculate the Net Present Value (NPV) of the vessel 20 b) Calculate the Payback Period of the project 3 C) Highlight to the management of North Atlantic Fishing any TWO (2) 2 disadvantages of Payback PeriodTABLE A Farming value internal factor 1 por proed at 1's for n periods PviFu,n) 111 84 TABLE B Present value interest factor of $1 per period at i% for n periods, PVIF(i,n). 44 0 013 0.840 OTH 0 951 0.803 OFAT 643 0410 0.705 08F1 0711 DAAT 0. 823 DAST 0914 0.892 10.800 04M 0.905 0.820 0 814 10152 8137 6124 0.412 0.887 0.788 10.557 104307 0.350 0418 0.601 0.409 0.419 0.308 4 12 0 183 0.773 0.870 0.758 0442 8540 0.881 0.743 0 855 10.315 0.728 17623 0.458 4 0348 81 0163 0141 0123 010 404 0 231 0 108 0.170 8148 0175 0158 50103 0.844 0.714 0.605 0.513 0.371 0.317 0418 0.294 0.350 0.213 0.160 0.153 0.838 0.700 0.104 0184 0138 0418 0090 0.0 4 CION 0.824 0.686 0.570 0 475 0 390 0.331 0.217 0.232 0.820 0456 0.250 0.215 0673 0.312 0.184 .140 10.780 0.478 0.375 0412 0.174 0.131 DOT5 0.057 0.743 0.552 0 253 0. 181 0 130 10.094 0 068 0.706 0.500 0 355 0.208 0 142 O.DOT 0.067 0.307 (0/013 70.009 6505 0:003 0/002 0/301 0.071 1 8001 8:030 01500 0 0.453 0 021 0.141 D.OAT 0.054 10.034113 5 180 2070 2040 Poro 3 100 3.183 4 710 TO PAM TO 5 540 19 10 403 10 80 11404 12004 12 54 13 141 13 412 14.102 13 13 800 14 650 14 14NT 15 874 17 383 18 560 18 17 254 IT 18 430 20.013 21 712 2300 2 25 840 28 213 50 040 7 16 12015 21412 10 20 511 GLAD TOTH 30 54 785 40564 34 41.860 130 80 TABLE D Present value interest factor of an (ordinary) annuity of $1 per period at 1% for n periods, PVIFA(in) LAM 14.254 12.1:14 1:3.064 12. 103 ATIE 14 302 BLE DA 13414 12085 41470 10 50 22:304 181600