FUND. ACCOUNTING PRINCIPLES >CUSTOM<
FUND. ACCOUNTING PRINCIPLES >CUSTOM<
24th Edition
ISBN: 9781307417692
Author: Wild
Publisher: MCG/CREATE
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Chapter 26, Problem 2BTN
To determine

Introduction:

Investment Project

  • Investment Projects refer to projects that require a lot of capital expenditure in the form of investments in assets. These projects aim at being profitable and earning the investor a minimum desired return of return.
  • Investment Projects can be in shares of companies, plant and machinery that is manufactured or purchased, research and development projects that aim to create new marketable and sellable goods or services.
  • There are several methods to evaluate capital investment opportunities. Examples include Rate of return, Present Value, Payback period evaluation etc. These methods focus on evaluation of the investment projects and aim to present sufficient basis to evaluate prospective investment projects.

Measurement Basis, Units, Advantages and disadvantages of methods of capital investment opportunities.

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