Order Description
You are required to critically evaluate the main methods of investment appraisal, namely accounting rate of return, payback, net present value and internal rate of return. Your evaluation should include an appraisal of each method identifying both strengths and weaknesses of each. Illustrate the use of each method of investment appraisal by creating a data set where investment occurs now and cash inflows and outflows occur over the next 5 years. Credit will be given for the realism of your investment scenario. How may ethical considerations impact upon your financial decision? Marks – Evaluation of investment appraisal methods 20 marks Creation of investment scenario 30 marks Application of investment appraisal techniques and conclusions 30 Ethical considerations 20 marks