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...

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Autor principal: A. Kuznetsov
Formato: article
Lenguaje:RU
Publicado: Publishing House of the State University of Management 2018
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Acceso en línea:https://doaj.org/article/9a3a313d9b6f4af1977a6a03ec3dc8f2
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spelling oai:doaj.org-article:9a3a313d9b6f4af1977a6a03ec3dc8f22021-12-03T07:43:25ZCRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS1816-42772686-841510.26425/1816-4277-2018-4-119-125https://doaj.org/article/9a3a313d9b6f4af1977a6a03ec3dc8f22018-04-01T00:00:00Zhttps://vestnik.guu.ru/jour/article/view/1007https://doaj.org/toc/1816-4277https://doaj.org/toc/2686-8415The 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.A. KuznetsovPublishing House of the State University of Managementarticleinvestment projectnet present valueevaluation effectivenessdiscount rateweighted average cost of capitalyieldinvested capitalSociology (General)HM401-1281Economics as a scienceHB71-74RUВестник университета, Vol 0, Iss 4, Pp 119-125 (2018)
institution DOAJ
collection DOAJ
language RU
topic investment project
net present value
evaluation effectiveness
discount rate
weighted average cost of capital
yield
invested capital
Sociology (General)
HM401-1281
Economics as a science
HB71-74
spellingShingle investment project
net present value
evaluation effectiveness
discount rate
weighted average cost of capital
yield
invested capital
Sociology (General)
HM401-1281
Economics as a science
HB71-74
A. Kuznetsov
CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS
description 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.
format article
author A. Kuznetsov
author_facet A. Kuznetsov
author_sort A. Kuznetsov
title CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS
title_short CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS
title_full CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS
title_fullStr CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS
title_full_unstemmed CRITICAL ANALYSIS OF THE CONCEPT OF NET PRESENT VALUE OF INVESTMENTS PROJECTS
title_sort critical analysis of the concept of net present value of investments projects
publisher Publishing House of the State University of Management
publishDate 2018
url https://doaj.org/article/9a3a313d9b6f4af1977a6a03ec3dc8f2
work_keys_str_mv AT akuznetsov criticalanalysisoftheconceptofnetpresentvalueofinvestmentsprojects
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