Реферат «Explanation of the methods used to value companies or projects in practice(Corporate Finance)», 2009 рікЗ предмету Фінансовий менеджмент · додано 08.03.2010 19:32 · від Гена Бобков · Додати в закладки
In my coursework I have analyzed the most popular practical methods of appeal investment calculation: Payback rule, Net Present Value and Internal Rate of Return. NPV and IRR are the most popular practical technique. In contrast, some of the companies that operate in fast moving markets use payback rule for making fast investment decision.
However all the techniques that were analyzed in the coursework have a lot of restrictions that have to be taken into account?
So for making managerial decisions it is necessary to use a complex technique that considers not only NPV, IRR and payback rule, but also their restriction and traps. But in practical usage, in the conditions of lack of time and a requirement of fast making decision, these methods are adaptable for huge amount of companies.