3.2+-+Investment+Appraisal

=Investment Appraisal=

Be good at this and you'll make more money than you lose! Oh, and you'll do well in your exams!! Analysing business decisions questions always offer additional marks if you do some Investment Appraisal - Basically, investment appraisal asks :is this a financially viable decision?"

Payback Period
This lesson uses the following resource....

Payback Period, or PBP is the quickest and simplest method of investment appraisal, therefore it is the most common used by businesses.

Accounting Rate of Return
This method calculates the average profit on an investmentproject as a percentage of the amount invested. It is also known as the Average Rate of Return.