Overview
-
The time value of money and interest rates
6 mins
-
Valuing a stream of cash
14 mins
-
Using the NPV rules
28 mins
-
Internal rate of return (IRR)
42 mins
-
Alternative decision rules
58 mins
-
Evaluating projects with different lives
72 mins
Course Description
What Is Capital Budgeting?
Capital budgeting is the process a business undertakes to evaluate potential major projects or investments. Construction of a new plant or a big investment in an outside venture are examples of projects that would require capital budgeting before they are approved or rejected. As part of capital budgeting, a company might assess a prospective project's lifetime cash inflows and outflows to determine whether the potential returns that would be generated meet a sufficient target benchmark. The capital budgeting process is also known as investment appraisal.
The speaker of this CPE course Manish Gupta will help to clarify capital budgeting fundamentals, how to calculate Net Present Values, IRR. Payback period and which method should be used in project evaluations as all methods have their shortcoming and advantages.
Ideally, businesses would pursue any and all projects and opportunities that enhance shareholder value and profit. However, because the amount of capital or money any business has available for new projects is limited, management uses capital budgeting techniques to determine which projects will yield the best return over an applicable period.
Attendees in this CPE Finance Webinar will also learn the shortcomings of different methods apart from being able to calculate.Â
Learning Objectives
- To analyze the techniques for evaluating investment options.
- To inspect Nuts & Bolts of NPV.
- To evaluate the internal rate of return (IRR).
- To explain the Payback period.
- To discuss the Advantages and Disadvantages of methods of calculation.
- To discuss how to make the calculations.
Recommended For
- This CPE course is recommended for CPAs, ABVs, CGFMs, CMAs, PFSs, FPACs, CVAs, CFAs, CVAs, CBA/MCBA, and any other professional who are interested in understanding capital budgeting & investment decision rules.
- This CPD course is also good for Canadian CPAs and Finance Professionals who want to get clarity on the capital budgeting fundamentals.
Who Should Attend?
- Accountant
- Accounting Firm
- Accounting Managers
- Bookkeepers & Accountants & Tax Preparers
- Chartered Financial Analyst
- CPA (Industry)
- CPA - Mid Size Firm
- CPA - Small Firm
- CPA in Business
- Director of Financial Reporting
- Directors of Finance
- Entrepreneurial CPA
- Finance Director
- Finance Pros
- Wealth Management Advisor
- Wealth Planner
- Young CPA