Capital Budgeting (5 op)

Tavoitteet

The student is able to:
- set up a discounted cash flow analysis
- use investment criteria to determine whether or not a project is acceptable
- use scenario analysis and sensitivity analysis in decision making
- write an investment proposal for management
- use computer software in capital budgeting

Toteutustapa

Introduction to capital budgeting theory and practices (lectures and literature reviews)
Individual Excel assignments
Team assignments using capital budgeting software (Invest for Excel)

Capital budgeting is the process of deciding whether or not to undertake an investment project. Should we start a new production line? Should we buy new machinery? Is this project profitable? Yes? No? The management needs to answer these kinds of questions and needs support in making important decisions about the future.

Työelämäyhteistyö ja/tai TKI

apartner, Cash flow modelling

Kansainvälisyys toteutuksella

This study unit is suitable for exchange students.

Arviointiasteikko

H-5

Lisätiedot

This study unit is also recommended for students in the Finnish programmes.