Answer To: TaskPART1:(a) Prepare at least 8 user stories with rankings and their associated acceptance...
Banasree answered on Feb 11 2023
Part 1-
a)
User Stories:
1. User Story: Place an Order
Ranking: High
Acceptance Criteria:
Customer dials 1 to place an order.
System greets the customer and provides a list of options.
Customer selects "Place an Order".
System checks the availability of the item.
Customer provides the necessary information to process the order (e.g., item number, quantity, credit card information).
System verifies and approves the transaction.
System books the order and transmits it to the shipping queue.
System confirms the order to the customer.
2. User Story: Check Order Status
Ranking: High
Acceptance Criteria:
Customer dials 2 to check the order status.
System greets the customer and provides a list of options.
Customer selects "Check Order Status".
System prompts the customer for their order number.
System retrieves the status of the order.
System informs the customer of the order status.
3. User Story: Speak in Person
Ranking: High
Acceptance Criteria:
Customer dials 0 to speak to a executive.
System greets the customer and provides a list of options.
Customer selects "Speak to executive".
System connects the customer to an executive customer service representative.
4. User Story: Customer Data Management
Ranking: Medium
Acceptance Criteria:
System securely stores customer data (e.g., credit card information).
System anonymizes customer data for data mining purposes.
System allows authorized personnel to access customer data.
5. User Story: Inventory Management
Ranking: Medium
Acceptance Criteria:
System accurately tracks the availability of items.
System updates inventory in real-time.
System alerts personnel when inventory levels are low.
6. User Story: Order Management
Ranking: Medium
Acceptance Criteria:
System accurately tracks and processes orders.
System updates order status in real-time.
System informs personnel when orders are ready for shipping.
7. User Story: Payment Management
Ranking: Medium
Acceptance Criteria:
System accurately processes payments.
System verifies and approves transactions.
System securely stores payment information.
8. User Story: Maintenance & Support
Ranking: Low
Acceptance Criteria:
System is maintained by a supplier.
System is supported by internal personnel.
System is updated regularly to maintain its functionality.
Case Diagram: -
b)
The five classes that can be identified from the use case diagram are:
1. Customer
Properties: Customer ID, Name, Contact Information, Payment Information
Actions: Place an order, Check order status, Speak to a human being, Provide feedback
2. System
Properties: Inventory information, Credit card information, Order information
Actions: Greet customer, provide menu of options, Check inventory for availability, Process order, Verify and approve transaction, Book order, transmit order to shipping queue
3. Order
Properties: Order ID, Customer Information, Item Information, Payment Information
Actions: Store order information, Retrieve order information
4. Item
Properties: Item ID, Name, Description, Price, Availability
Actions: Store item information, Retrieve item information, Update availability information
5. Shipping Queue
Properties: Order information
Actions: Store order information, Retrieve order information, Update order status information
Part 2
a)
To calculate the NPV (Net Present Value) and the breakeven point of the project, determine the present value of the expected cash flows and the cost of the project, using the WACC (Weighted Average Cost of Capital) as the discount rate.
First, let's calculate the present value of the expected cash flows.
1. Year 1: Sales increase: $50K; Cost Savings: $80K; Total cash flow: $50K - $80K = -$30K
Present value (PV) of cash flow = ($30K / (1 + 0.075)^1) = $27,463
2. Year 2: Sales increase: $130K; Cost Savings: $85K; Total cash flow: $130K - $85K = $45K
Present value (PV) of cash flow = ($45K / (1 + 0.075)^2) = $39,872
3. Year 3: Sales increase: $240K; Cost Savings: $87K; Total cash flow: $240K - $87K = $153K
Present value (PV) of cash flow = ($153K / (1 + 0.075)^3) = $118,639
4. Year 4: Sales increase: $300K; Cost Savings: $90K; Total cash flow: $300K - $90K = $210K
Present value (PV) of cash flow = ($210K / (1 + 0.075)^4) = $153,187
5. Year 5: Sales increase: $350K; Cost Savings: $92K; Total cash flow: $350K - $92K = $258K
Present value (PV) of cash flow = ($258K / (1 + 0.075)^5) = $183,122
Next, let's calculate the present value of the costs.
1. Cost of Phone Hardware: $150K
Present value (PV) of cost = ($150K / (1 + 0.075)^1) = $139,041
2. Cost of Computing Equipment (Servers, printers): $35K
Present value (PV) of cost = ($35K / (1 + 0.075)^1) = $32,143
3. Cost of Expert System Software: $150K
Present value (PV) of cost = ($150K / (1 + 0.075)^1) = $139,041
4. Cost of Other Software: $20K
Present value (PV) of cost = ($20K / (1 + 0.075)^1) = $18,516
5. Development & Installation: $575K
Present value (PV) of cost = ($575K / (1 + 0.075)^1) = $532,384
6. On-going maintenance (supplier): $25K per year
Present value (PV) of cost = ($25K / 0.075) * (1 - (1 / (1 + 0.075)^5)) = $114,632
7. Internal maintenance & support: $60K per year
Present value (PV) of cost = ($60K / 0.075) * (1 - (1 / (1 + 0.075)^5)) = $269,342
Initial Investment
To calculate the NPV, we need to find the present value of the expected cash flows and subtract the initial investment. The present value of each cash flow can be found using the formula:
PV = CF / (1 + WACC)^t
Where CF is the cash flow for a particular year, t is the number of years from the start of the project, and WACC is the weighted average cost of capital. In this case, the WACC is 7.5%.
The initial investment includes the costs of phone hardware ($150,000), computing equipment ($35,000), expert system software ($150,000), other software ($20,000), development and installation ($575,000), and on-going maintenance and support...