现代财务管理全套配套课件詹姆斯R.麦圭根 Ch10 MMK11.ppt

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1、10CapitalBudgeting:DecisionCriteriaandRealOptionConsiderations©2009South-Western/Cengage2IntroductionThischapterlooksatcapitalbudgetingdecisionmodels.Itdiscussesandillustratestheirrelativestrengthsandweaknesses.Itexaminesprojectreviewandpost-auditproceduresIttracesasampleproject

2、throughthecapitalbudgetingprocess.3CapitalBudgetingDecisionCriteriaNetpresentvalue(NPV)Internalrateofreturn(IRR)Profitabilityindex(PI)Paybackperiod(PB)4NetPresentValuePVofthestreamoffutureCFsfromaprojectminustheproject’snetinvestment5NPVCharacteristicsDecisionRule:AcceptifNPV≥0S

3、trengths:TheoreticallythebestcriteriaRealisticassumptionthatCFsreinvestedatkConsidersthetimevalueofmoneyAbsolutemeasureofchangeinwealthWeaknesses:NPVresultnoteasilyunderstoodDoesnotconsiderthevalueofrealoptions6ConditionsAllowingAbove-NormalProfitsandPositiveNPVBuyerpreferencesf

4、orestablishedbrandnamesControlofdistributionsystemsPatentsExclusiveownershipofsuperiornaturalresourcesInabilityofnewfirmstoacquirefactorsofproductionAccesstolowercostfinancialresourcesEconomiesofscaleAccesstosuperiorlaborormanagementtalents7ProfitabilityIndexRatioofthePVoffuture

5、cashflowsoverthelifeoftheprojecttotheNINV8PICharacteristicsDecisionRule:AcceptifPI>1Interpretation:PVreturnperdollarofinvestmentStrengths:SamebenefitsaswithNPVPreferredundercapitalrationingWeakness:SometimesgivesdecisionthatconflictswiththeNPVresultIfNPVandPIresultsdisagreewithn

6、ocapitalrationing,decidebasedonNPV9IRRRateofdiscountthatequatesthePVofNCFsofaprojectwiththePVoftheNINVmakingNPV=0IfNPV=0,10IRRCharacteristicsDecisionRule:AcceptifIRR>kStrengths:ConsidersthetimevalueofmoneyInterpretationeasierthanNPVWeaknesses:Non-normalCFpatterncanresultinmultip

7、leIRRsAssumptionthatCFsreinvestedatIRRsometimesunrealisticDoesnotconsiderthevalueofrealoptionsIRRresultformutuallyexclusiveprojectscandisagreewithNPVresultIfIRRandNPVresultsdisagree,useNPV.111213PaybackPeriodNumberofyearsforthecumulativeundiscountedNCFsfromaprojecttoequaltheNINV

8、14PBCharacteristicsDecisionRule:AcceptifPB≤cuto