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QUESTION 1 (The Engineer, User information and Communication Systems) Information is the fuel that drives organisations. It is important to generate only information that is

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QUESTION 1 (The Engineer, User information and Communication Systems) Information is the fuel that drives organisations. It is important to generate only information that is necessary for effective decisions. Transactions must be recorded and information must be made available to decision makers in the most suitable form. Formulate ten (10) possible questions that can be used to identify the information needs of decision makers. How are the information needs of decision makers determined? These are the questions you will ask a decision maker in your company to establish the information needs of the person. [10] QUESTION 2 (TVM and Project Selection) 2.1. Mine dumps pose environmental and health hazards to the community. It is estimated that a quarry will have to spend R6,500,000.00 in 10 years' time on rehabilitation when it closes. Calculate the uniform series of equal payments that this quarry will have to make at the end of each year for a period of ten years in order to have saved up the R6,500,000 that is required for rehabilitation. An interest rate of 16% per year, compounded annually applies. {5} 2.2. ABC Ltd is evaluating two projects that are mutually exclusive with initial investments and cash flows as follows: Table 1. Project A and B ABCLtd has a required payback period of 2 years. Assess and decide considering the net cash flows in Table 1, whether the company should reject or accept either one or both of the projects. Clearly outline the reasons for your decision. {5}

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