The financial manager of Infinity Plc has estimated the Net Present Value (NPV) of an investment project to be 25 million under the assumption that the cash flows associated with the project are normally distributed. Assume that the annual standard deviation is 0.853 million and that the standardized value associated with the 95% confidence level is 1.65.

Required: Critically assess/evaluate/discuss the value at risk of the projects NPV if its life span is 5 years, assuming a 95% confidence level.