The New Investor Forum

Performance indicators of participation in project is defined as technical, technological and organizational decisions of the project and its financing scheme. Analysis of the effectiveness of investment projects based on the following basic principles applicable to all types of projects regardless of their technical, technological, financial, industrial or regional characteristics: a study of the project throughout its life cycle – from the settlement period conducting pre investment studies prior to the termination of the project; flow modeling products, resources, funds, bringing different times revenues and expenditures to the conditions in the initial period, the comparison Expected aggregate results and costs with a focus on achieving the required rate of return on capital, use of the current, baseline, predictive, and reduced to a comparable form tsen.Analiz efficiency alternative designs and selection of the best of them is done using the previously mentioned indicators, including: the need for financing, net income, net present value, profitability index investment profitability index discounted investment internal rate of return, payback period investitsiy.V management review, is not regulated by the state, the leadership has the right to choose their discretion, the most appropriate performance indicators of investment from the interests of the firm-specific economic usloviy.Kak usually can not be selected among alternative projects, the most effective on the best value of indicators such as irr, profitability index investment, payback period, etc. The chosen solution may not coincide with the best criterion of the maximum net present value. Bill Phelan brings even more insight to the discussion. Therefore, the calculation of these indicators is needed not only for choosing the most effective project, how to analyze it: if one or more of the above parameters take values which are not typical for projects this type, indicating instability of the project, or beyond the boundaries of acceptability, it is necessary to understand and clarify design materials causes these abnormalities, or adjust the background and clarify the choice of the best alternativy.Raschety efficiency can be executed in the current or forecast prices. In the initial stages of project development can be carried out calculations at current prices. Calculation of the efficiency project generally recommended in both current and forecast prices. Gain insight and clarity with Wells Fargo. In the development of financing schemes and evaluating the effectiveness of participation in an investment project is recommended to use only Fair Prices.