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Question 4 (122 marks) Sunlux Group is a divsionalised company that has divisions in other countries but headquartered in Nambia. Due to the divisienalied nature

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Question 4 (122 marks) Sunlux Group is a divsionalised company that has divisions in other countries but headquartered in Nambia. Due to the divisienalied nature of Sunlux, pertormance measurement is of crucial importance to determine the progress each divihigh is making and to teward thase divivions who are performine exceptionally well. Sunlux current) y uses retura on invelament (ROV) and revidual income [R] to assess the performance of the divisions. The following financial records have beeh entracted for the Malawian Division. The Malawian Disision reports in Namibian dollars. Sunlex uses a cost of capital of SK to auess divivional performance. The capital employed thewh in the table above represents the carving amounts of the division's non-current assets. Other operational expenses are inclusive of annual depreciation charge. The Malawian Division did not add or dispose non-current assets at any time in the three years. Neikher addtions nor disposal are anticipated in the 2023 financial period. For the current financial vear (2023), revenues and expenses (eacluding depreciation) will maintain the 2022 figures: New project The board of directors for Sunlux are proposine a project that would require an investment of NS2 000 C00. They believe this is a lucrathe project and have provided the followine detalls: Page 16 of 17 FACULTY OF COMMERCE, MANAGEMENT AND LAW OLD CURRICULUM MODULES Sunlax wall apply the same depreciation policy as other non-current assets. There are no additional assets to be procured for this project and it will not have any resale value at the end of the 5 years. The project was anticlouted to start at the beginning of September 2022

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