EP 18 I NPV | IRR| PI |PBP |BCR | Calculation & Interpretation l Capital Budgeting Technique |

Related Video Link :    • EP 17 I Capital Budgeting Technique | Inve...      • EP 27 I Project Appraisal Process | Manage...      • EP 08 I Understanding Financial Statement ...   Capital Budgeting Investment Decision is generally called as Capital Budgeting Technique How do You decide- where you should invest in Project-A or Project– B ? Process of analyzing projects and deciding which are acceptable investments and which actually should be purchased. Criteria – NPV ; means the value of investment IRR ; means the % of Return on Investment PI/BCR ; means the profit ratio for every cent of investment PBP ; means the time to return your investment So far we learn about— Discount cash flow (opportunity cost) Non Discount cash flow Future Value Present Value