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This document discusses various methods for evaluating project profitability and investment decisions. It describes quantitative measures like return on investment, return on average investment, payback period, net present worth, and internal rate of return. It also discusses qualitative, intangible factors like employee morale, safety, corporate image, and management goals. The document provides definitions and limitations of different profitability measures. It categorizes project types and notes profitability is difficult to define but important for decision making and maximizing returns on investment.

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L 12 capital budgeting

Capital budgeting is the process in which a business determines and evaluates potential expenses or investments that are large in nature.
These expenditures and investments include projects such as building a new plant or investing in a long-term venture. Often times, a prospective project's lifetime cash inflows and outflows are assessed in order to determine whether the potential returns generated meet a sufficient target benchmark, also known as "investment appraisal."

Cfd ppt

This document discusses capital budgeting and methods for evaluating long-term investment projects. It defines capital budgeting as evaluating investments that maximize owner wealth over multiple years. Several evaluation methods are described, including payback period, net present value (NPV), internal rate of return (IRR), and profitability index (PI). The document recommends using NPV, as it considers all cash flows and their timing, incorporating the time value of money to determine the true profitability of investments.

Discounted measures

The document discusses several discounted measures used to evaluate project worth: net present value (NPV), net benefit investment ratio (NBIR), benefit-cost ratio (BCR), and internal rate of return (IRR). It provides the formulas and decision rules for each measure. It notes that while NPV, NBIR, BCR, and IRR are commonly used, IRR can be unreliable in situations with non-conventional cash flows or mutually exclusive projects, and that NPV should be used to resolve conflicts between decision rules.

ranking of investment projects

This document discusses various methods for evaluating and ranking capital investment projects, including payback period methods, net present value, internal rate of return, and net future value. An example is provided to illustrate how these methods can be used to analyze two potential projects by comparing their cash flows, payback periods, and rates of return. The document emphasizes the importance of accurate cash flow estimates and understanding how these evaluation techniques work in practice.

Pm 6

The document discusses various techniques for risk analysis in capital budgeting including probability, variance, coefficient of variation, payback period, risk-adjusted discount rate, certainty equivalent, sensitivity analysis, scenario analysis, simulation analysis, decision trees, and utility theory. It provides details on how to apply each technique and highlights their benefits and limitations.

Capital budgeting process; meaning and process

Capital budgeting is the process of evaluating potential long-term investments and projects that span multiple years. It involves creating a capital budget, screening potential projects, analyzing projects using analytical tools, and monitoring approved projects. The capital budgeting process seeks to select projects that will provide the best returns and ensures only relevant cash flows are considered in the analysis. It is an ongoing process of identifying, analyzing, selecting, implementing, and reviewing long-term investment opportunities.

Capital budgeting

The document discusses various capital budgeting techniques used to evaluate investment projects, including payback period, net present value (NPV), internal rate of return (IRR), and profitability index (PI). It also covers capital structure, which refers to the mix of debt and equity used to finance long-term operations. Different theories of capital structure are presented, including the net income theory, net operating income theory, and traditional theory. The optimal capital structure balances minimum cost of capital with maximum return and safety.

Capital Budgeting

Objectives of Capital Budgeting, Importance of Capital Budgeting, Advantages of Capital Budgeting, Disadvantages of Capital Budgeting, Capital Budgeting Process, CAPITAL BUDGETING TECHNIQUES: PAYBACK PERIOD, Advantages Of Pay Back Period (PBP), Disadvantages Of Pay Back Period (PBP), Net present value method, Internal Rate of Return,

2. capital budgeting review

This document discusses various capital budgeting techniques used to evaluate investment projects. It begins by explaining the importance of capital budgeting in long-term investment decisions and financial goals of maximizing firm value. Next, it outlines both non-discounted cash flow methods like average rate of return (ARR) and payback period (PBP), as well as discounted cash flow methods including net present value (NPV), internal rate of return (IRR), modified IRR, and profitability index (PI). For each technique, it provides the calculation method, advantages, and disadvantages. It emphasizes that NPV is the preferred approach as it considers the time value of money and is consistent with wealth maximization.

Capital budgeting

The document discusses various capital budgeting techniques used to evaluate long-term investment projects. It describes net present value (NPV) as a technique that measures the value created by discounting a project's cash flows to present value. It also covers internal rate of return (IRR), payback period, and profitability index. The techniques are applied to sample projects A and B to compare their results and demonstrate that different techniques can produce conflicting rankings of projects.

Capital budgeting-decision-process

This document discusses the capital budgeting decision process. It describes the key steps as: 1) proposal generation, 2) review and analysis, 3) decision making, 4) implementation, and 5) follow up. It also defines some basic terminology used in capital budgeting, such as independent vs. mutually exclusive projects, unlimited funds vs. capital rationing, accept-reject vs. ranking approaches, and conventional vs. nonconventional cash flows. The overall goal of capital budgeting is to evaluate and select long-term investments that maximize owner wealth.

Valuing Mutually Exclusive Capital Projects

Phuket Beach Hotel has an unused space that they are considering leasing to Planet Karaoke Pub or using to build their own Beach Karaoke Pub. Both options were analyzed using various metrics. Planet Karaoke Pub has a shorter payback period of 2.46 years compared to 3.84 years for the Beach Karaoke Pub. However, the Beach Karaoke Pub has a higher NPV. Sensitivity analysis found that Planet Karaoke Pub is less sensitive to changes in revenue loss and initial investment. Overall, the assistant recommends leasing the space to Planet Karaoke Pub due to the shorter payback period and higher average return on investment, even though the Beach Karaoke Pub has a higher

Chapter 9: CAPITAL BUDGETING

The document discusses various capital budgeting techniques used to evaluate long-term investment projects, including payback period, net present value (NPV), internal rate of return (IRR), and profitability index (PI). It provides examples of how to calculate each metric and the decision rules for whether to accept or reject a project based on the results. Modified IRR is also introduced as an alternative to standard IRR. Finally, the importance of ethics in capital budgeting decisions is highlighted.

Capital budgeting shikha gupta

This document provides an overview of capital budgeting. Capital budgeting involves planning the deployment of capital to maximize long-term profitability through investment decisions. It discusses types of capital budgeting proposals, techniques like net present value (NPV), internal rate of return (IRR), and payback period. NPV calculates the present value of future cash flows to determine if a project is profitable. IRR is the discount rate that makes NPV equal to zero. Payback period is the number of years to recover initial investment. Capital budgeting helps firms evaluate investment alternatives and assess those with the highest returns.

Investment appraisal techniques

capital budgeting techniques - useful to students of undergraduate. post graduate and profession course students pursuing a course in finance

Finance

This document discusses several financial management concepts including:
1) Net present value (NPV) which is the difference between the present value of future cash flows from an investment and the amount of the initial investment.
2) Cash flow estimation which businesses use to analyze potential market trends and risks by estimating a project's revenues and costs.
3) Payback period which is the length of time it takes for a project's cash receipts to recoup its initial cost.
4) Capital budgeting which is the planning process used to determine if long-term investments are worth pursuing using techniques like net present value, internal rate of return, and accounting rate of return.

Capital budgeting overview

Capital budgeting is the process of analyzing long-term investment projects involving major capital or fixed asset expenditures. It involves evaluating proposed investments and deciding which projects to include in the capital budget. There are traditional non-discounted methods like payback period and accounting rate of return, as well as more accurate discounted cash flow methods like net present value, internal rate of return, and profitability index. Accurately evaluating investment opportunities is important because capital budgeting decisions involve large expenditures that have long-term impacts and risks.

Chap006

The document discusses several methods for evaluating capital investment projects, including net present value (NPV), internal rate of return (IRR), payback period, and profitability index. It explains the advantages and disadvantages of each method, and how to properly apply them to determine whether projects should be accepted. The preferred method is NPV, but IRR is also commonly used, though it has some limitations compared to NPV.

Capital budgeting

AAQIB SALMANI
(b.com / m.com)
WHAT IS A CAPITAL BUDGETING? EXPLAIN THE PROCESS OF CAPITAL BUDGETING

Discounted payback period

The document discusses various capital budgeting techniques including discounted payback period and net present value (NPV). It provides an example calculation of discounted payback period for a project that pays back in 3 years. While discounted payback includes the time value of money, it does not consider cash flows after the payback date or whether NPV is positive. NPV is described as the best measure as it directly shows whether a project will increase owner wealth by accounting for the time value of money and all cash flows. The internal rate of return (IRR) is also discussed as an alternative to NPV for evaluating projects.

L 12 capital budgeting

L 12 capital budgeting

Cfd ppt

Cfd ppt

Discounted measures

Discounted measures

ranking of investment projects

ranking of investment projects

Pm 6

Pm 6

Capital budgeting process; meaning and process

Capital budgeting process; meaning and process

Capital budgeting

Capital budgeting

Capital Budgeting

Capital Budgeting

2. capital budgeting review

2. capital budgeting review

Capital budgeting

Capital budgeting

Capital budgeting-decision-process

Capital budgeting-decision-process

Valuing Mutually Exclusive Capital Projects

Valuing Mutually Exclusive Capital Projects

Chapter 9: CAPITAL BUDGETING

Chapter 9: CAPITAL BUDGETING

Capital budgeting shikha gupta

Capital budgeting shikha gupta

Investment appraisal techniques

Investment appraisal techniques

Finance

Finance

Capital budgeting overview

Capital budgeting overview

Chap006

Chap006

Capital budgeting

Capital budgeting

Discounted payback period

Discounted payback period

Capital Budgeting

Capital budgeting refers to the process of evaluating investment projects and determining whether they should be accepted or rejected. There are traditional and discounted cash flow methods for evaluating projects. Traditional methods include payback period and accounting rate of return, which do not consider the time value of money. Discounted cash flow methods like net present value (NPV) and internal rate of return (IRR) discount future cash flows to determine if a project will provide sufficient returns. The capital budgeting process involves project generation, evaluation using techniques like NPV or IRR, and selection of projects that meet acceptance criteria.

Capital budgeting

Capital budgeting refers to the process of evaluating investment projects and determining whether they should be accepted or rejected. There are traditional and discounted cash flow methods for evaluating projects. Traditional methods include payback period and accounting rate of return, which do not consider the time value of money. Discounted cash flow methods, like net present value and internal rate of return, discount future cash flows to determine the value of projects today. These methods are preferred as they are consistent with maximizing shareholder value.

Capital Budgeting

This document discusses capital budgeting, which refers to the process of evaluating potential long-term investment projects. It describes the key aspects of capital budgeting including its meaning, significance, and common methods used. The capital budgeting process involves generating project proposals, evaluating them by estimating costs and benefits, selecting projects, and reviewing performance. Traditional methods for evaluating projects include payback period and accounting rate of return. Discounted cash flow methods, like net present value and internal rate of return, are also covered. The document provides details on how to calculate and apply each of these evaluation methods.

Powerpoint Presentation on Financial Management-G.REGIO.pptx

The document discusses capital budgeting techniques and their importance for business investment decisions. It defines capital budgeting and describes techniques like payback period, net present value (NPV), and internal rate of return (IRR). Payback period only considers cash flows until initial investment is recovered, while NPV and IRR account for time value of money. NPV indicates profitability based on whether the value is positive or negative, and IRR shows the discount rate where NPV equals zero. Sensitivity analysis and scenario planning can help address uncertainties in capital budgeting evaluations.

Making investment decisions

This document discusses key concepts for making investment decisions, including investment appraisal techniques like payback period, average rate of return, and net present value. It explains how to calculate and interpret each technique, along with their advantages and disadvantages. The document also covers investment criteria, risks and uncertainties, and qualitative influences that should be considered alongside quantitative factors when evaluating investments.

Investment Decisions I.pptx

This document discusses various techniques used for capital budgeting and investment decision making. It defines key terms like net present value (NPV), internal rate of return (IRR), payback period, and accounting rate of return (ARR). It provides examples of how to calculate ARR for potential investments and assets. While ARR is a simple metric, it has limitations like ignoring the time value of money and risk factors over the life of long-term projects. Other discounted cash flow methods like NPV and IRR provide a more comprehensive analysis.

Capital Budgeting Techniques.pptx

This document discusses various capital budgeting techniques used to evaluate investment projects. It begins by defining capital budgeting and explaining that there are discounted and non-discounted methods. Some of the key methods discussed include net present value (NPV), internal rate of return (IRR), payback period, and profitability index (PI). Formulas for calculating each method are provided along with examples to illustrate how they are applied. The document compares the various techniques and discusses their advantages and limitations.

Capital Budgeting Decision

Capital budgeting decisions involve investing current funds into long-term assets to generate expected cash flows over several years. These decisions include expansion, acquisition, modernization, replacement, and new product investments. Cash flows provide a better estimate of a project's return than accounting profits because accounting can be manipulated. Common techniques for evaluating investments include net present value (NPV), internal rate of return (IRR), payback period, and profitability index. NPV calculates the present value of all cash flows from a project while IRR is the discount rate that makes the NPV equal to zero.

capital_budgeting.ppt

Capital budgeting is the process of evaluating long-term investments and projects. It involves analyzing potential additions to fixed assets that require large expenditures and have long-term impacts on the firm's future. Key techniques for evaluating projects include net present value (NPV), internal rate of return (IRR), payback period, and accounting rate of return. These methods discount future cash flows to determine a project's true profitability while accounting for risk and the time value of money. Capital budgeting analysis helps firms select projects that maximize shareholder wealth.

capital budgeting presentation mcom pptx

Capital budgeting involves creating a systematic plan for investing capital funds in long-term projects. It aims to increase profits by selecting projects with the highest expected returns. Various techniques are used to analyze projects, including net present value, internal rate of return, and payback period, to determine which will provide the best returns and should receive funding. Capital budgeting decisions are long-term, high-risk, and irreversible, as they require large investments for an uncertain future payoff.

Ch 08

The document discusses various capital budgeting techniques for evaluating investment projects. It describes discounted cash flow methods like net present value (NPV) and internal rate of return (IRR), as well as non-discounted methods like payback period and accounting rate of return. NPV is outlined as the preferred method as it considers the time value of money and maximizes shareholder wealth. Limitations of other methods like payback period and IRR are also highlighted.

Capital Budgeting.ppt

Capital budgeting is the process of evaluating long-term investment projects. It involves estimating the future cash flows of a project, including initial costs and future annual cash inflows. Discounted cash flow methods like NPV, IRR and profitability index are commonly used to evaluate projects, but simpler methods like payback period and average rate of return are also used in practice due to uncertainty and limited funds. While NPV is preferred in theory, profitability index may be better when funds are constrained. Multiple techniques are often considered together to make capital budgeting decisions.

Net Present Value Vs Profitability Index

This document discusses capital budgeting and methods for evaluating investment projects. It introduces net present value (NPV) and profitability index (PI) as discounted cash flow methods for project evaluation. NPV calculates the present value of future cash flows less the initial investment, while PI is the ratio of present value of cash inflows to initial investment. Both methods accept projects with positive NPV or PI over 1. The document also discusses the advantages and limitations of each method and how NPV is preferred for mutually exclusive projects since it selects the project with the highest positive NPV.

FM2.pptx

The document discusses capital budgeting, which refers to the planning process used to determine whether long-term investments are worth funding with cash. It defines capital budgeting, outlines its key characteristics and process, and describes various techniques used, including payback period, accounting rate of return, net present value, internal rate of return, and profitability index. It also discusses determining relevant cash flows, the cost of capital, and calculating the weighted average cost of capital.

The capital budgeting process

This document discusses key concepts related to capital budgeting and risk analysis. It begins with definitions of capital budgeting as the process of identifying, evaluating, planning, and financing capital investment projects. It describes the main features of capital budgeting projects as having large anticipated benefits, high risk, and a long time period between initial outlay and return.
The document then covers various capital budgeting techniques for evaluating projects, including payback period, net present value (NPV), and internal rate of return (IRR). It provides examples of calculating each measure and the criteria for accepting projects. Finally, it discusses risk in capital budgeting, defining it as uncertainty in cash flow forecasts, and methods for measuring risk, such as

Introduction to cost management & control in construction projects

This document discusses cost management and control techniques for construction projects. It defines different types of costs including direct, indirect, fixed, and variable costs. It then explains various project selection techniques such as return on investment, internal rate of return, net present value, benefit-cost ratio, opportunity cost, and payback period. The document provides examples of how to use each technique to select projects. It also discusses future value and present value calculations. Finally, it covers key aspects of project cost management including estimating costs, determining budgets, and controlling costs.

capital budgeting ppt.pptx

Capital budgeting is the process of evaluating investments in fixed assets with cash flows extending beyond one year. It allows companies to analyze major projects and determine if their expected returns meet benchmarks. The net present value (NPV) method discounts future cash flows to present value to see if a project's value exceeds its cost. It is considered the best technique as it incorporates the time value of money. Other methods like payback period and accounting rate of return are simpler but ignore important factors like risk and the length of a project's life. Capital budgeting is important for companies to evaluate projects carefully and make profitable long-term investment decisions that impact their future success.

Capital Bugeting - Discounted Cash Flow Methods.pptx

This document discusses various discounted cash flow methods for capital budgeting and long-term investment decisions. It describes methods like net present value (NPV), internal rate of return (IRR), and profitability index (PI). For each method, it provides the key formula, how to calculate it, and merits and demerits. It also introduces the concept of terminal value, which represents the expected future value of an investment beyond the initial projected period. Accounting for terminal value is important for accurate long-term financial forecasting and investment decision making.

Capital Budgeting

Capital budgeting is the process of evaluating long-term investment projects. Financial managers use methods like net present value, internal rate of return, and profitability index to analyze projects. These methods examine all cash flows, consider the time value of money, and incorporate the required rate of return. Projects can be independent, like a new phone system, or mutually exclusive, where only one project can be chosen, like purchasing one brand of copier.

Unit 6 Project Financial Analysis Methods.pptx

Financial analysis plays an important role in project management. It is used during project planning to create estimates and ensure projects are viable. During project execution, financial analysis allows managers to monitor budgets and address deviations. After project completion, financial analysis assesses how profitable the project was. Common financial metrics used in investment analysis include net present value (NPV), return on investment (ROI), internal rate of return (IRR), and payback period. These help evaluate investments and determine which projects to pursue.

Capital Budgeting

Capital Budgeting

Capital budgeting

Capital budgeting

Capital Budgeting

Capital Budgeting

Powerpoint Presentation on Financial Management-G.REGIO.pptx

Powerpoint Presentation on Financial Management-G.REGIO.pptx

Making investment decisions

Making investment decisions

Investment Decisions I.pptx

Investment Decisions I.pptx

Capital Budgeting Techniques.pptx

Capital Budgeting Techniques.pptx

Capital Budgeting Decision

Capital Budgeting Decision

capital_budgeting.ppt

capital_budgeting.ppt

capital budgeting presentation mcom pptx

capital budgeting presentation mcom pptx

Ch 08

Ch 08

Capital Budgeting.ppt

Capital Budgeting.ppt

Net Present Value Vs Profitability Index

Net Present Value Vs Profitability Index

FM2.pptx

FM2.pptx

The capital budgeting process

The capital budgeting process

Introduction to cost management & control in construction projects

Introduction to cost management & control in construction projects

capital budgeting ppt.pptx

capital budgeting ppt.pptx

Capital Bugeting - Discounted Cash Flow Methods.pptx

Capital Bugeting - Discounted Cash Flow Methods.pptx

Capital Budgeting

Capital Budgeting

Unit 6 Project Financial Analysis Methods.pptx

Unit 6 Project Financial Analysis Methods.pptx

Income tax

Taxes imposed on the earnings of organizations and individuals are income taxes. Marginal tax rate and flat tax rate. Marginal tax rates are harmful to the economy.

Nominal and Effective Interest Rate

Interest Rate that does not include any consideration of compound interest.Continuous compounding. EAIR.

InterestWhy Engineers should know ?

The money returned to the owners of capital for use of their capital.
Compound interest is the result of reinvesting interest, rather than paying it out.
Quotation of interest rates

Taxes and InsuranceEngineering point of view

Tax is a mandatory financial charge, Property taxes, Excise taxes, Income taxes. Capital-gains tax is levied on profits made from the sale of capital assets. Self-insurance is a risk management method

Estimation of Fixed Capital Cost

Operating labour, allow one extra man on days. It is unlikely
that one extra man per shift would be needed to operate
this small plant, and one extra per shift would give
a disproportionately high labour cost.

Summary of Production Costs

Evaluation of preliminary industrial design work . Purchase cost of miscellaneous equipment. Total purchase cost of major equipment items .

Purchase Cost of Miscellaneous Equipment

The document outlines various indirect costs associated with purchasing miscellaneous equipment, including design and engineering costs estimated at 20-30% of direct capital costs, contractor's fees of 5-10% of direct capital costs, and a contingency allowance of 5-10% for issues like labor disputes or weather. The total physical plant cost is the sum of direct costs and these indirect costs.

Mass Transfer Equipment Cost

The document summarizes the components and cost factors involved in purchasing plate and packed towers for mass transfer equipment. The purchased cost can be divided into the shell cost, internals cost like trays and packing, and auxiliary costs. The purchased cost is calculated as the bare cost from figures multiplied by a material factor and pressure factor. Figures are provided showing examples of tray types and cross-sectional views of plate and packed towers.

HEAT-TRANSFER EQUIPMENT COSTS

basic information that should be supplied to a fabricator in order to obtain a price estimate or firm quotation on a proposed heat exchanger (Process Information, Mechanical Information)

Gross Profit, Net Profit

Gross profit, net profitper capital investment. Total annual product cost equals the total annual sales.

Manufacturing Costs

Manufacturing costs per capital investment.Manufacturing costs are: Variable production costs, fixed charges, and plant-overhead.
Direct and indirect production cost. Plant overhead costs. Administrative costs. Distribution and marketing costs. Research and development costs

Capital Investment

Capital cost estimate classifications, Chemical industry. Turnover ratio.
Total product are manufacturing cost and general expenses. product costs are calculated on:
daily basis, unit-of-product basis, or, annual basis

Cost Indices for Industrial Application

Cost Indices, change in cost over time. Cost indexes are maintained in areas such as construction, chemical and mechanical industries. Lang’s method , Hand method.

Estimation of Capital Investments

Capital needed to supply the necessary manufacturing and
plant facilities. Estimation of capital investment.
Order-of-magnitude estimates, 6-10th's rule, Price indices,

Production Costs

Cash flow, cash flow diagram and industry. Cost estimation is required to provide reliable decisions.Price fluctuations, company policies, governmental regulations

Location of an industry

Why location is important for installing an industry, factors affecting plant location, Current trends in selection of a pant location

Fluctuation of money value with time

Time value of money is measured by interest rates. Money has time value because it can earn more over time through interest (earning power) and its purchasing power changes with inflation. The present value of a future amount can be calculated using the present value formula, which takes into account the discount rate and number of periods until receipt. As time passes, the value of assets invested in a project will change. Assets are items owned that have future economic benefit and are divided into tangible assets with physical form and intangible assets without physical form.

Economics for Engineers, Why ?

The document discusses engineering economics and its importance for chemical engineers. It provides three key objectives of engineering economics: 1) to assess the appropriateness of a given project, 2) to estimate its value, and 3) to justify it from an engineering standpoint. The document then analyzes several potential reaction processes for producing vinyl chloride and calculates the gross profit that could be made from each based on raw material and product prices. Reaction 3, which converts ethylene and chlorine into vinyl chloride and hydrogen chloride, is identified as the most profitable option.

Psychrometric chart, How to read

Dew point, Humidity, Dry Bulb temperature, Locate a point on the chart. Enthalpy changes. Tips and tricks for the psychrometric chart.

The Scientific Methods

The scientific method is a set of procedures used to develop explanations of natural phenomena and possibly to predict additional phenomena. For example,
The average temperature of seawater increases, the seawater will become less dense, its volume will increase, and sea level will rise even if no continental ice melts.

Income tax

Income tax

Nominal and Effective Interest Rate

Nominal and Effective Interest Rate

InterestWhy Engineers should know ?

InterestWhy Engineers should know ?

Taxes and InsuranceEngineering point of view

Taxes and InsuranceEngineering point of view

Estimation of Fixed Capital Cost

Estimation of Fixed Capital Cost

Summary of Production Costs

Summary of Production Costs

Purchase Cost of Miscellaneous Equipment

Purchase Cost of Miscellaneous Equipment

Mass Transfer Equipment Cost

Mass Transfer Equipment Cost

HEAT-TRANSFER EQUIPMENT COSTS

HEAT-TRANSFER EQUIPMENT COSTS

Gross Profit, Net Profit

Gross Profit, Net Profit

Manufacturing Costs

Manufacturing Costs

Capital Investment

Capital Investment

Cost Indices for Industrial Application

Cost Indices for Industrial Application

Estimation of Capital Investments

Estimation of Capital Investments

Production Costs

Production Costs

Location of an industry

Location of an industry

Fluctuation of money value with time

Fluctuation of money value with time

Economics for Engineers, Why ?

Economics for Engineers, Why ?

Psychrometric chart, How to read

Psychrometric chart, How to read

The Scientific Methods

The Scientific Methods

What is Rescue Session in Odoo 17 POS - Odoo 17 Slides

In this slide, we will discuss the rescue session feature in Odoo 17 Point of Sale (POS). Odoo POS allows us to manage our sales both online and offline. The rescue session helps us recover data in case of internet connectivity issues or accidental session closure.

Dr. Nasir Mustafa CERTIFICATE OF APPRECIATION "NEUROANATOMY"

CERTIFICATE OF APPRECIATION
"NEUROANATOMY"
DURING THE JOINT ONLINE LECTURE SERIES HELD BY
KUTAISI UNIVERSITY (GEORGIA) AND ISTANBUL GELISIM UNIVERSITY (TURKEY)
FROM JUNE 10TH TO JUNE 14TH, 2024

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This is an introduction to Google Productivity Tools for office and personal use in a Your Skill Boost Masterclass by the Excellence Foundation for South Sudan on Saturday 13 and Sunday 14 July 2024. The PDF talks about various Google services like Google search, Google maps, Android OS, YouTube, and desktop applications.How to Manage Access Rights & User Types in Odoo 17

In Odoo, who have access to the database they are called users. There are different types of users in odoo and they have different accesses into the database. Access rights are permissions that can be set for the individual or group of users. This slide will show How to Manage Access Rights & User Types in Odoo 17.

11EHS Term 3 Week 1 Unit 1 Review: Feedback and improvementpptx

Check subjects on Student Portal and review continuous feedback for each subject.

Demonstration module in Odoo 17 - Odoo 17 Slides

In Odoo, a module represents a unit of functionality that can be added to the Odoo system to extend its features or customize its behavior. Each module typically consists of various components, such as models, views, controllers, security rules, data files, and more. Lets dive into the structure of a module in Odoo 17

A beginner’s guide to project reviews - everything you wanted to know but wer...

A beginner’s guide to project reviews - everything you wanted to know but wer...Association for Project Management

APM event held on 9 July in Bristol.
Speaker: Roy Millard
The SWWE Regional Network were very pleased to welcome back to Bristol Roy Millard, of APM’s Assurance Interest Group on 9 July 2024, to talk about project reviews and hopefully answer all your questions.
Roy outlined his extensive career and his experience in setting up the APM’s Assurance Specific Interest Group, as they were known then.
Using Mentimeter, he asked a number of questions of the audience about their experience of project reviews and what they wanted to know.
Roy discussed what a project review was and examined a number of definitions, including APM’s Bok: “Project reviews take place throughout the project life cycle to check the likely or actual achievement of the objectives specified in the project management plan”
Why do we do project reviews? Different stakeholders will have different views about this, but usually it is about providing confidence that the project will deliver the expected outputs and benefits, that it is under control.
There are many types of project reviews, including peer reviews, internal audit, National Audit Office, IPA, etc.
Roy discussed the principles behind the Three Lines of Defence Model:, First line looks at management controls, policies, procedures, Second line at compliance, such as Gate reviews, QA, to check that controls are being followed, and third Line is independent external reviews for the organisations Board, such as Internal Audit or NAO audit.
Factors which affect project reviews include the scope, level of independence, customer of the review, team composition and time.
Project Audits are a special type of project review. They are generally more independent, formal with clear processes and audit trails, with a greater emphasis on compliance. Project reviews are generally more flexible and informal, but should be evidence based and have some level of independence.
Roy looked at 2 examples of where reviews went wrong, London Underground Sub-Surface Upgrade signalling contract, and London’s Garden Bridge. The former had poor 3 lines of defence, no internal audit and weak procurement skills, the latter was a Boris Johnson vanity project with no proper governance due to Johnson’s pressure and interference.
Roy discussed the principles of assurance reviews from APM’s Guide to Integrated Assurance (Free to Members), which include: independence, accountability, risk based, and impact, etc
Human factors are important in project reviews. The skills and knowledge of the review team, building trust with the project team to avoid defensiveness, body language, and team dynamics, which can only be assessed face to face, active listening, flexibility and objectively.
Click here for further content: https://www.apm.org.uk/news/a-beginner-s-guide-to-project-reviews-everything-you-wanted-to-know-but-were-too-afraid-to-ask/ASP.NET Core Interview Questions PDF By ScholarHat.pdf

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Codeavour 5.0 International Impact Report - The Biggest International AI, Cod...

Codeavour 5.0 International Impact Report - The Biggest International AI, Cod...Codeavour International

Unlocking potential across borders! 🌍✨ Discover the transformative journey of Codeavour 5.0 International, where young innovators from over 60 countries converged to pioneer solutions in AI, Coding, Robotics, and AR-VR. Through hands-on learning and mentorship, 57 teams emerged victorious, showcasing projects aligned with UN SDGs. 🚀
Codeavour 5.0 International empowered students from 800 schools worldwide to tackle pressing global challenges, from bustling cities to remote villages. With participation exceeding 5,000 students, this year's competition fostered creativity and critical thinking among the next generation of changemakers. Projects ranged from AI-driven healthcare innovations to sustainable agriculture solutions, each addressing local and global issues with technological prowess.
The journey began with a collective vision to harness technology for social good, as students collaborated across continents, guided by mentors and educators dedicated to nurturing their potential. Witnessing the impact firsthand, teams hailing from diverse backgrounds united to code for a better future, demonstrating the power of innovation in driving positive change.
As Codeavour continues to expand its global footprint, it not only celebrates technological innovation but also cultivates a spirit of collaboration and compassion. These young minds are not just coding; they are reshaping our world with creativity and resilience, laying the groundwork for a sustainable and inclusive future. Together, they inspire us to believe in the limitless possibilities of innovation and the profound impact of young voices united by a common goal.
Read the full impact report to learn more about the Codeavour 5.0 International.The Cruelty of Animal Testing in the Industry.pdf

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- 1. Projects, Investment, Profitability Dr. K. Shahzad Baig Memorial University of Newfoundland (MUN) Canada
- 2. Profitability Profits or Rate of Return on Capital. “Profitability is not a perfect measurement; no one has been able to define it, and yet it is a measurement, despite all its imperfections.” Peter Drucker Basis for Decision Making Corporate objectives Maximize the return on investment, the return on stockholder’s equity. Maximize common stock prices and hence, maximize aggregate earnings. Find outlets for a maximum of additional investment at returns greater than the minimum acceptable rate of return. Increase market share, the economic value added. Increase earnings per share of stock.
- 3. Project Classification for New Investments Necessity projects: Environmental, health and safety regulations, legal requirements or possibly to accomplish intangible but essential needs Product improvement projects: Require capital to improve the quality of a product, like clarity, stability, odor, or purity to meet customer needs Process improvement projects: Concerned with the reduction of operating expenses, for example, improvement in reaction yields, reduction of utilities, and labor expenses Expansion projects: To meet increased sales demand for a product. These projects may require the retrofitting of an existing facility with associated high expenses and/or the building of a new facility. New ventures: New ventures require capital expenditures to introduce new products to the market. These might also involve joint ventures or alliances with another company or companies and are the riskiest projects.
- 4. Profitability Measures Quantitative Measures ◦ Return on Investment ◦ Return on Average Investment ◦ Payout Period (POP) ◦ Payout Period with Interest (POPI) ◦ Net Present Worth (NPW) ◦ Net Present Worth Index (NPWI) ◦ Internal Rate of Return Qualitative Measures ◦ Intangible Factors ◦ Attempts to Quantify Intangible Factors
- 5. Return on Investment (ROI) 𝑅𝑒𝑡𝑢𝑟𝑛 𝑜𝑛 𝐼𝑛𝑣𝑒𝑠𝑡𝑚𝑒𝑛𝑡 = 𝑎𝑛𝑛𝑢𝑎𝑙 𝑛𝑒𝑡 𝑝𝑟𝑜𝑓𝑖𝑡 𝑒𝑎𝑟𝑛𝑖𝑛𝑔𝑔 𝑎𝑓𝑡𝑒𝑟 𝑡𝑎𝑥𝑒𝑠 𝑇𝑜𝑡𝑎𝑙 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 𝑖𝑛𝑣𝑒𝑠𝑡𝑚𝑒𝑛𝑡 𝑥 100 Advantages Simplest Used frequently for quick answers Disadvantages The time value of money is ignored. A basic assumption in this method is that all projects are similar in nature to each other. The project will last the estimated life and this is often not true. Equal weight is given all income for all years and that is not always true. The averaging of profits permits laxity in forecasting. It does not consider timing of cash flows. It does not consider capital recovery.
- 6. Return on Average Investment (POAI) Measuring the profitability of investments utilizing accounting data and are based on averaging methods. 𝑅𝑂𝐴𝐼 = 𝑎𝑛𝑛𝑢𝑎𝑙 𝑛𝑒𝑡 𝑝𝑟𝑜𝑓𝑖𝑡 𝑒𝑎𝑟𝑛𝑖𝑛𝑔𝑔 𝑎𝑓𝑡𝑒𝑟 𝑡𝑎𝑥𝑒𝑠 𝐿𝑎𝑛𝑑 + 𝑊𝑜𝑟𝑘𝑖𝑛𝑔 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 + (𝐹𝑖𝑥𝑒𝑑 𝐶𝑎𝑝𝑖𝑡𝑎𝑙 𝐼𝑛𝑣𝑒𝑠𝑡𝑚𝑒𝑛𝑡)/2 𝑥 100 This method has all the inherent disadvantages of the previous method
- 7. Payout Period (POP) The method is simple to use and has served as a historical measure of profitability, comparing POP of proposed projects with those in the past. Disadvantages ◦ Since no consideration is given to cash flows that occur after the capital is recovered; therefore, this method cannot be considered as a true measure of profitability. ◦ The method makes no provision for including land or working capital. 𝑃𝑂𝑃 = 𝐷𝑒𝑝𝑟𝑒𝑐𝑖𝑎𝑏𝑙𝑒 𝑓𝑖𝑥𝑒𝑑 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 𝑖𝑛𝑣𝑒𝑠𝑡𝑚𝑒𝑛𝑡 𝑎𝑓𝑡𝑒𝑟 𝑡𝑎𝑥 𝑐𝑎𝑠ℎ 𝑓𝑙𝑜𝑤 The objective of this method is to calculate the amount of time that will be required to recover the depreciable fixed capital investment from the accrued cash flow of a project.
- 8. Payout Period with Interest (POPI) Disadvantages ◦ It does not take into account the project’s later years. ◦ It does not consider capital recovery. Takes into account the time value of money
- 9. Net Present Worth (NPW) Algebraic sum of the discounted values of the cash flows each year for the life of a project It has none of the disadvantages of other methods and treats the time value of money and its effect on project profitability properly An arbitrary time frame, i.e., time zero, is selected as the basis of calculation Net Present Worth Index (NPWI) Also known as the profitability index. The ratio of the present value of the after-tax cash inflows to the present value of the cash outflows or capital items. An index greater than 1 indicates that a project has a yield greater than the discount (interest) rate. When more than one project is considered, that project with the highest net present worth index is to be preferred, provided it is greater than 1.
- 10. Internal Rate of Return The internal rate of return (IRR) is the interest rate that will make the present worth of the cash proceeds expected from an investment equal to the present worth of the required cash outlays required by the investment Therefore, it is discount rate that results when the net present worth is equal to zero. In the IRR method, the result is the interest rate that will produce an NPW of zero.
- 11. Other Measures of Profitability Overall rate of return (ORR) and the net rate of return (NRR). ORR calculation starts by discounting the investment cash flows to the present and the revenues to the end of the project.
- 12. Limitations of IRR Method Multiple rates for return Unusual cash flow forecasts can lead to more than one answer for the IRR Reinvestment rate Inherent in the IRR calculation is the assumption that funds received during the project can immediately be reinvested at the same interest rate as the IRR. ◦ The higher the return, the lower the probability that additional projects are available for reinvestment at that rate. Comparison of two are more projects. When comparing two or more mutually exclusive projects will not necessarily lead to the correct choice, thus by elimination the best project will be selected.
- 13. Size of the investment. ◦ The IRR method can’t differentiate between differences in the size of the investment. Timing of cash flows ◦ Because of the uncertainty in forecasts, the nature of the cash flow and timing, there is the possibility that the discounted value of the net cash flows can equal zero at more than one interest rate. This causes problems in analyzing the meaning of the results.
- 14. Intangible Factors – Qualitative Measures Employee Morale Employee Safety Environmental Constraints Legal Constraints Product Liability Corporate Image Management Goals
- 15. Following books were used in preparation of notes Blank, L., Tarquin. A. 2005. Engineering Economy. 6th Edition, McGraw-Hill. Eschenbach, T. G. 2003. Engineering Economy”, 2nd Edition, Oxford University Press Riggs, J. L., Bedworth, D. D., Randhawa, S. U. 1996. Engineering Economics”, 4th Edition, Tata McGraw-Hill. Riggs, J. L., West. T. M. 1986. Essentials of Engineering Economics”, 2nd Edition, McGraw-Hill. Peter, M. S., Timmerhaus, K. D. 1991. Plant Design and Economics for Chemical Engineers. 4th Edition, McGraw-Hill.