Details

Autor(en) / Beteiligte

• Tomaševič, Vladislav

Titel

Evaluation of investment projects’ effectiveness by the net present value method

Ist Teil von

• Verslas: teorija ir praktika, 2010-10, Vol.11 (4), p.362

Ort / Verlag

Vilnius: Vilnius Gediminas Technical University

Erscheinungsjahr

2010

Link zum Volltext

Quelle

EBSCOhost Business Source Ultimate

Beschreibungen/Notizen

• The paper examines one of the most widespread methods of evaluating effectiveness of investment projects – the net present value (NPV) method. The author presents main NPV characteristics and assumptions for calculation. The focus is on the analysis of specific cases of NPV calculation. The analysis forms the basis for the development of a consistent technique of objective evaluation of investment projects. The proposed NPV calculation technique is based on the assessment of the effect of three main variables on the final result. The variables include 1) net cash flow; 2) length of the period considered and the interval of analysis; and 3) discount rate.