Overview
Why is “Capital Budgeting & Investment Decision Rules” crucial for today’s businesses? A recent study highlights that companies employing strategic capital budgeting techniques exhibit a 30% higher return on investments than those without. Capital Budgeting & Investment Decision Rules course is designed to navigate the complexities of capital budgeting and investment decision rules, equipping learners with the knowledge to make informed decisions that significantly impact the financial health of businesses. Through a deep dive into methods like NPV, Payback Period, and IRR, and by evaluating projects with different lifespans, participants will gain a holistic understanding of how to assess and select profitable investments. Capital Budgeting & Investment Decision Rules course ensures learners are well-prepared to apply capital budgeting techniques effectively, driving the success and sustainability of their organisations.
Description
The “Capital Budgeting & Investment Decision Rules” course begins by laying a foundational understanding of capital budgeting’s importance and its role in strategic investment decision-making. As learners progress, they are introduced to the NPV (Net Present Value) method, a critical tool for evaluating the profitability of investments, ensuring decisions are grounded in value creation for the company.
Further, the Capital Budgeting & Investment Decision Rules course explores alternative methods such as the Payback Period and the Internal Rate of Return (IRR), each offering unique perspectives on investment evaluation. By comparing these methods, participants develop a nuanced understanding of how different criteria affect the selection of projects. Additionally, the Capital Budgeting & Investment Decision Rules course addresses the challenge of comparing projects with different lifespans, a common scenario in capital budgeting decisions, providing learners with the skills to navigate these complexities successfully.
Capital Budgeting & Investment Decision Rules course culminates by tying together all learned concepts, enabling participants to apply a comprehensive approach to capital budgeting and investment decisions. This theoretical yet practical exploration ensures learners can effectively contribute to their organisations’ financial strategies.
Learning Outcomes:
- Understand the fundamental concepts of capital budgeting and investment decision-making.
- Master the NPV method for evaluating investment opportunities.
- Learn the Payback Period method to assess the quickness of investment recovery.
- Gain expertise using the Internal Rate of Return (IRR) for project evaluation.
- Evaluate projects with differing lifespans to make balanced investment decisions.
- Synthesise course concepts to make informed capital budgeting decisions in a concluding framework.
Boost your finance skills with our “Capital Budgeting & Investment Decision Rules” course. Join today and start making smart investment choices with ease!
Why Choose Us?
- This course is accredited by the CPD Quality Standards.
- Lifetime access to the whole collection of the learning materials.
- Online test with immediate results.
- Enroling in the course has no additional cost.
- You can study and complete the course at your own pace.
- Study for the course using any internet-connected device, such as a computer, tablet, or mobile device.
Certificate of Achievement
Upon successful completion, you will qualify for the UK and internationally-recognised CPD certificate and you can choose to make your achievement formal by obtaining your PDF Certificate at a cost of £4.99 and Hardcopy Certificate for £9.99.
Who Is This Course For?
- Finance professionals are seeking to enhance their capital budgeting skills.
- Business owners are looking to make informed investment decisions.
- Students pursuing a career in finance or business management.
- Corporate executives are involved in strategic planning and investments.
- Investment analysts are focusing on project evaluation.
- Is anyone interested in understanding the financial decision-making process?
Requirements
The Capital Budgeting & Investment Decision Rules course requires no prior degree or experience. All you require is English proficiency, numeracy literacy and a gadget with stable internet connection. Learn and train for a prosperous career in the thriving and fast-growing industry of Capital Budgeting & Investment Decision Rules, without any fuss.
Career Path
Upon completion of Capital Budgeting & Investment Decision Rules courses, you will be able to:
- Financial Analyst
- Investment Manager
- Corporate Finance Advisor
- Strategic Planner
- Capital Budgeting Consultant
- Business Valuation Specialist
- Project Finance Analyst
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Course Curriculum
| Section 01: Introduction | |||
| Preview | 00:01:00 | ||
| Basics of Time Value of Money | 00:10:00 | ||
| Concepts of Compounding, Discounting, Present Values | 00:09:00 | ||
| Section 02: NPV Method | |||
| NPV Method Meaning and Decision Rules | 00:07:00 | ||
| Use of NPV with an Example and Practical Life Limitation of NPV Method | 00:06:00 | ||
| NPV Profile of the Project to Understand Sensitivity | 00:04:00 | ||
| Section 03: Payback Period Method | |||
| Payback Period Meaning and Calculations | 00:02:00 | ||
| Drawback of Payback Period Method | 00:03:00 | ||
| Section 04: Internal Rate of Return (IRR) | |||
| IRR, Meaning and Method of Calculation with Limitation | 00:07:00 | ||
| Example of Demonstrate NPV and IRR Calculation and Inconsistent Result | 00:04:00 | ||
| Case of Multiple IRR and MRR as an Attempt to Fix the Problem | 00:08:00 | ||
| Section 05: Evaluating Projects in Different Lives | |||
| How to Choose between Mutually Exclusive Project | 00:11:00 | ||
| Choosing Project with Different Life | 00:06:00 | ||
| Choosing Project in Budget Constraints | 00:05:00 | ||
| Section 06: Conclusion | |||
| Final Summary | 00:04:00 | ||
| Assignment | |||
| Assignment -Capital Budgeting & Investment Decision Rules | 00:00:00 | ||
| Order Your Certificate | |||
| Order Your Certificate | 00:00:00 | ||
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