Andrew brabner (5 Ergebnisse)

Taschenbuch. Zustand: Neu. Druck auf Anfrage Neuware - Printed after ordering - Seminar paper from the year 2002 in the subject Business economics - Investment and Finance, grade: 1 (A), Manchester Metropolitan University Business School (Corporate Finance), language: English, abstract: Investment project evaluation is an important matter for companies. There are often a variety of different investment opportunities amongst which a company can choose or there is the problem of capital rationing in which limited capital is available for investment. Whatever the particular problem, companies need tools to aid them in selecting the correct opportunity, so that the maximum possible value will be added and they need to be able to do so without referring back to the shareholders and to ask them for their particular preferences.There are various methods of investment appraisal, of which three will be discussed and implemented here in order to supply the company directors with the bes possible advice. The first being the Net Present Value (NPV) calculation that considers relevant future cash flows and subsequently discounts them at the opportunity cost of capital (the Internal Rate of Return (IRR) is similar and will be discussed in more detail later) and the other being the Accounting Rate of Return (ARR) that bases its analysis upon pure, non-discounted, accounting data.…

Taschenbuch. Zustand: Neu. Neuware - Seminar paper from the year 2002 in the subject Business economics - Investment and Finance, grade: 1 (A), Manchester Metropolitan University Business School (Corporate Finance), language: English, abstract: Options are a financial instrument with which one can reduce risk. Financial options are used by companies for this purpose and come in many forms, for example commodity, currency or interest rate options.Options are also embedded in real investment decisions, for example in the form that a company gains the possibility (or option) to make a very profitable future investment (B), but only under the condition that the original investment (A) is made. This possibility increases uncertainty about the future, and has a value to the purchaser of the asset (A) at the time of purchase. Option pricing attempts to value this. This offers an alternative form of investment appraisal to the traditional Discounted Cash Flow (DCF) methods such as Net Present Value (NPV), that do not and can not account for and place a value on this uncertainty. There are two major methods of valuing options. One is the binomial method and the other is the Black & Scholes Formula. The options valued here all use the Binomial Model assuming European Options.…

Taschenbuch. Zustand: Neu. Neuware - Seminar paper from the year 2002 in the subject Business economics - Business Management, Corporate Governance, grade: 1 (A), Manchester Metropolitan University Business School (Management Accounting), language: English, abstract: Please note that Exhibit II of my chosen case study, Bridgeton Industries, has a few mistakes in the sub totals and therefore also in the total factory profit. I have corrected these in Attachment I and will therefore proceed to assess this case using my attachment and not Exhibit II.The aim of this writing is to evaluate whether or not manifolds should be outsourced and to identify the reasons for sustained unprofitably at the Bridgeton Industries automotive component and fabrication plant despite improvements in the effectiveness and efficiency of production processes.To resolve this problem I will first look at current and future profitability of the individual product lines and then examine the method of overhead cost allocation and the way in which costs are captured. I will then create an estimated model year 1990/1991 in order to evaluate the effect that the outsourcing of manifold production will have on the remaining plant operations and therefore also upon overall plant profitability. To close I will make suggestions as to what could / should be changed in order to improve transparency for future decision-making.…

Taschenbuch. Zustand: Neu. Neuware - Seminar paper from the year 2003 in the subject Business economics - Business Management, Corporate Governance, grade: 1 (A), Manchester Metropolitan University Business School (Management Accounting), language: English, abstract: The company and industry are currently both experiencing a process of change. This has lead to the need to evaluate alternatives to the current cost accounting system. This requires the evaluation of whether burden should be traced to either one, two or three cost pools. Currently burden is only being traced to one. Furthermore the company is certain that it will soon have to purchase expensive machinery, thus changing it operational asset base and cost structure, in order to remain competitive. Therefore I will also examine the effect that this acquisition would have upon the current and alternative systems so as to see which system would be the most appropriate and effective method to supply management with the necessary information need to be able to outperform both market and competition. If any of these methods comes in question at all.…

Taschenbuch. Zustand: Neu. Druck auf Anfrage Neuware - Printed after ordering - Seminar paper from the year 2003 in the subject Business economics - Investment and Finance, grade: 1 (A), Manchester Metropolitan University Business School (Treasury and Finance), language: English, abstract: To answer this question I will evaluate various possible scenarios, taking into consideration various environmental factors that effect international investment projects. The result will not be 100% certain, but will give an indication of how high the risks are and whether or not they are worth taking.AssumptionsTo begin with a few assumptions have been made which remain true for all of the following scenarios.Firstly that the French government allows a tax credit upon all taxes paid in Emergia. Further it assumes that the Emergian government will not levy a withholding tax on funds remitted to France. These assumptions have been made due to lack of information to the to simplify the analysis and make it more comparable. Should these not hold then all scenarios evaluated here would have to be adjusted for these points.Volumes remain stable. This is in order to allow for a conservative evaluation across all models. There is not enough information given to evaluate the prospective market, other than the fact that it is stable. Theoretically a stronger Ziloti would reduce the cost of imported material, possibly allowing for prices to be reduced and thus increase volume whilst also increasing or at least maintaining margins, however such volume effects will not be included here.Inflation and interest rates have been given as fairly reliable and they will therefore also remain constant throughout the scenarios. However they will both be used to attempt to determine future exchange rates at a later stage.The salvage value of the plant is a very important cash item. However the offer being made by the Emergian government means that this value will be zero by the time the project closes. This item remains cash ineffective throughout all scenarios, due to the fact that project life and useful life for depreciation purposes match each other precisely.The low local tax rate of 20% could be changed. But will be assumed as being stable for simplicity and as there are no indications that Emergia wishes to drive FDI out of the country at present.…