QUES 1. Chriselda Rick is newly appointed manager do risk at Nortex Industries in Francistown. As a new manager she wants to be assisted with the following questions: a) An investment for loss control will have an initial today of P30, 000. Cash flows expected from the project are as follows P20,000 one year from today, P10,000 two years from today, and P10,000 in year 3.Calculate the net present value (NPV) with a discount rate of 10 per cent (10marks) b) Nortex production facility (Location 1) has a probability of damage by fire of 4 per cent a given year. There is also a probability in any given year or damage by wind storm of 6 percent The Company has another facility in Tonota otherwise referred to as (Location 2). The facility has the probability of fire and flood damage of 5 and 2 per cent respectively. a. Find the probability that Location 1 will have both wind and fire loss in the same year. (5marks) b. What is the probability of Location 2 having at least a fire or flood loss in one year? (5marks)