Introduction

This course focuses on the application of investment techniques to operating and investing decisions. The purpose of investment and project appraisal is to assess the viability of project, programme or portfolio decisions and the value they generate. In the context of a business case, the primary objective of investment appraisal is to place a value on benefits so that the costs are justified. The course is designed to ex-ante examination of a proposal project to determine whether the same should be implemented or not whereas project evaluation is an ex-post assessment of the impact of accomplished project and it ensures students reach a proficient level of professional applicability.

Course Pre Requisites:

Learning Outcomes

After completing this course student will be able to:

• This course will enable students to understand the concepts which underlie the appraisal of investment projects and the advantages and drawbacks of each of the main approaches used (namely cost benefit analysis, multi criteria analysis and other important concepts.
• The ultimate outcome of a public or a private investment is determined by the financial, economic, managerial and political parameters associated with the project.
• To understand tools and techniques about project evaluation that closely links the financial and economic analysis, and in turn identifies the distribution of benefits and costs over the various interest groups.
• To identify fatal flaws in the design of a project that will an appraisal that segments the analysis and does not address the interdependencies of the components.

Date and Timings

Grading Criteria

Textbooks

Zvi Bodie, Alex Kane, Alan K., Essentials of Investment, McGraw Hill 11th Ed.