CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS

The critical analysis of the net present value, which represents one of the traditional most frequently used indicators of financial effectiveness of investment projects has been proved. Net present value is also considered as a base for fair value estimate of intangible assets on a company’s balanc...

Descripción completa

Guardado en:
Detalles Bibliográficos
Autor principal: A. Kuznetsov
Formato: article
Lenguaje:RU
Publicado: Publishing House of the State University of Management 2018
Materias:
Acceso en línea:https://doaj.org/article/9a3a313d9b6f4af1977a6a03ec3dc8f2
Etiquetas: Agregar Etiqueta
Sin Etiquetas, Sea el primero en etiquetar este registro!
Descripción
Sumario:The critical analysis of the net present value, which represents one of the traditional most frequently used indicators of financial effectiveness of investment projects has been proved. Net present value is also considered as a base for fair value estimate of intangible assets on a company’s balance sheet. Within the analysis the answers to questions of every investor are given: how to correctly assess the net present value, what discount rate is better applied for cash flows and how to estimate the discount rate, whether an investor should immediately reject the project having a negative net present value, how to estimate weighted average cost of capital correctly and others.