Thursday, May 21, 2020

Net Present Value ( Npv ) - 1530 Words

Net present value (NPV) is a discounted cash flow technique used to determine the overall value of a project or a succession of cash flows (Blocher et al, 2008). See Appendix 1 for a simplified calculation. Belli (2001) argues that NPV is more suitably applied to mutually exclusive projects; these types of projects are those that if accepted, prevent other contending projects to be approved (Mowen et al, 2009). NPV is understood to be an absolute measure, therefore when selecting between mutually exclusive projects, the project with the highest NPV tends to be the most desirable (Damodaran, 2010). NPV is a popular appraisal technique, largely owing to its ability to consider the concept of time value for money. This alone provides a more†¦show more content†¦However, if the projects are mutually exclusive IRR is argued to be problematic and not the most effective technique. Ranking projects according to desirability can be flawed due to the inferred reinvestment rate assum ption of IRR and/or due to projects being of varying size and duration (Fisher, 1930). One of the most cited problems with IRR appears to be the fact that a cash flow stream can have no internal rate of return or numerous, inconsistent internal rates (White et al, 1998). This particular drawback is epitomised in Lorie and Savage s (1955) oil-well problem. They found that investing in advanced oil pump equipment to extract large quantities of oil at a faster pace could cause negative incremental cash flows. Moreover, it increased the total recovery and shifted some of the oil that had been recovered to date, to earlier periods; this caused the cash flow pattern to fluctuate between negative and positive. These problems caused them to state that, the rate-of-return criterion for judging the acceptability of investment proposals is ambiguous or anomalous (Lorie and Savage, 1955, p228). Payback period is defined as the expected number of years required to recover the original investment (Brigham Ehrhardt, 2005, p347). The payback period is calculated by cumulatively adding the net cash flows of a project. Projects with a shorter payback period are generally considered the most desirableShow MoreRelatedCompare and contrast the internal rate of return (IRR) and the net present value (NPV) criteria for evaluating investment proposals.2568 Words   |  11 PagesThe internal rate of return (IRR) and the net present value (NPV) techniques are 2 investment decision tools that satisfy the 2 major criteria for the correct evaluation of capital projects. This criterion is that the techniques should incorporate the use of cash flows and the use of the time value of money. This makes them viable techniques for evaluating investment proposals. The Net Present Value is one of the techniques that are used by firms when evaluating which investment proposals to takeRead MoreNet present value (NPV), payback period (PBP) and internal rate of return (IRR) approaches for a project evaluation2931 Words   |  12 PagesAbstract This essay will discuss the net present value (NPV), payback period (PBP) and internal rate of return (IRR) approaches for a project evaluation. It is often said that NPV is the best approach investment appraisal, which I why I will compare the strengths and weaknesses of NPV as well as the two others to se if the statement is actually true. Introduction To start of, the essay will attempt to explain the theoretical rationale of the net present value approach to investment appraisal asRead MoreDiscuss Net Present Value (NPV) Payback has certain advantages, but disadvantages for long term project appraisal. Discuss.1285 Words   |  6 Pagesdiscounted cash flow (DCF) methods using Net Present Value and Internal Rate of Return. NET PRESENT VALUE (NPV) Net present value is a way of comparing the value of money now with the value of money in the future. A euro today is worth more than a euro in the future, because inflation erodes the buying power of the future money, while money available today can be invested and so grow. The technique is a three-stage process: to calculate the present value of each element of cash expenditure in aRead MorePlease compare the advantages and disadvantages of the following investment rules: Net Present Value (NPV), Payback Period and Discounted Payback Period981 Words   |  4 Pages Net present value is defined as the total present value (PV) of a time series of cash flows. It is a standard method for using the time value of moneyto appraise long-term projects. Used for capital budgeting, and widely throughout economics, it measures the excess or shortfall of cash flows, in present value terms, once financing charges are met. The advantages of the NPV are following; first, it tells whether the investment will increase the firm’s value. Also, it considers all the cash flowsRead MoreChapter 7— Net Present Value and Other Investment1149 Words   |  5 Pagesmanagers Chapter 7— Net Present Value and Other Investment Question 1 : List the methods that a firm can use to evaluate a potential investment. There are discounted and non-discounted cash-flow capital budgeting criteria to evaluate proposed investments. They are 1) Net present value: NPV is a discounted cash flow technique, which is the difference between an investment’s market value and its cost. NPV = Present value of cash inflow- Present value of cash outflow TheRead MoreGroupe Ariel Sa Case Essay1170 Words   |  5 PagesGroupe Ariel SA Case Introduction Groupe Ariel SA of France is considering a project in Mexico. They need to analyze the net present value of the project, keeping in mind the exchange rates between Mexican Pesos and Euros in order to maximize their return. They also need to keep in mind the inflation rates over time and the risks involved with this type of investment. Analysis Number 1. Groupe Ariel is recycling old equipment in Mexico. They will need to use pesos to calculate their cashRead MoreLockerheed Tristar Case Study1587 Words   |  7 Pagesregarding these methods, with the most commonly used being Internal Rate of Return (IRR) and Net Present Value (NPV). Each method encompasses positives and negatives; however if either are used without fully understanding what their prospective results reveal, mistakes can be made and under-estimations of return will happen. In a recent case Lockheed Martin chose to use the Internal Rate of Return to value their Tri Star project. We have determined this to be a mistake and, through this case analysisRead MoreThe Divergence Of Opinion From One Technique850 Words   |  4 Pagestwo projects versioning alpha and beta, Identifying potential projects as part of their strategic planning process, amongst different techniques of gauging project, Phyllis adopted two techniques they are: 1. Weighted Scoring Model 2. Performing Net Value Analysis Weighted scoring model in the current scenario explains us that project beta is the best scoring project, which is recommended to adapt by the company, whereas in depth if we look on to the individual score according to their ProminenceRead MoreIntroducing The Internal Rate Of Return1263 Words   |  6 PagesTHE INTERNAL RATE OF RETURN (IRR) The Internal Rate of Return (IRR) is that discount rate providing a net value of zero for a future series of cash flows. The IRR and Net Present Value (NPV) are used to decide between investments to select what investment should provide the most returns. DIFFERENCE BETWEEN THE NPV AND IRR The main difference is that the Net Present Value or Net Present Value (NPV) is used as actual amounts, while the IRR is the interest yield as a percentage expected from an investmentRead MoreEssay on Capital 20Budget 20Analysis 20Group 20P1648 Words   |  7 Pagesis implemented within organizations is defined and reported. Key terms related to capital budgeting are also defined. Risk analysis based on the Net Present Value (NPV) is performed on the salvage values before and after sales tax values along with the different sale ranges. Keywords: NPV, NPV Profile, NPV, IRR, multiple IRRs, ranking conflict of NPV vs. IRR, payback period, profitability index, discount rate, cost of capital concept, cash flow analysis, cash flow timeline, conventional cash flow

Wednesday, May 6, 2020

A Study On Reims Cathedral - 2054 Words

Reims Cathedral was built within the Marne department of the Champagne-Ardenne region between the years 1212-1300. However, Reims genesis dates back to 496 AD as a previous cathedral once occupied the land on which the new cathedral was built upon. A fire destroyed the original cathedral structure on May 6th, 1210. 2 years after the fire, it was decided to initiate work on the construction of the new, cathedral that exists to this present day. This second cathedral is in the French gothic style and was designed to be much more capacious in contrast to its fire- destroyed predecessor. †The nave and aisles of the western arm are broadened out in the eastern arm.† This logic permitted larger crowds to attend coronation ceremonies. The cathedrals predominant function is a place of worship under the denomination of Roman Catholics. An assembly of architects participated in the design over a period of 7 centuries due to adaptations and refinements materialised to its des ign. Such names consist of Jean d Orbais (1175-1231); responsible for the first initial design work of the cathedral, Henri Deneux (1874-1969); who laboured over the architectural restoration of Reims after bombing raids in WW1, Bernard de Soissons (birth date and death date unknown) noted as a participant with Jean in the initial design work of the cathedral. One fundamental aspect explored by studying Reims Cathedral is the quality of natural light and how it is affected by its both artistic and

Andy Warhol †Paper Free Essays

A fill blade is moved across the screen stencil, forcing ink into the mesh openings for transfer by capillary action during the stroke. Because Andy was not actually drawing on the piece of work, it lost all personal ties with the artist and when he would press the ink filled paper onto what would become the finished piece of work, the lines took an irregular form. Warhol uses repetition in his paintings to guide the on looker away from any feelings f empathy and intimacy. We will write a custom essay sample on Andy Warhol – Paper or any similar topic only for you Order Now His style ends the need for interpretation because the surface of the work is a recognizable reality that still moves the viewers (Ere 9. Whorl’s work can best be described using Plat’s allegory of the cave that man is trapped in a shadowed realm and subjected to the delusion that the shadows are hardly distinguishable from the real world. In Whorl’s paintings after-images of humanity are projected on a surface that has been altered through color and cosmetics so they become unlike real life. The reason he painted so withdrawn can be linked to his lack of social development when he was younger, he was unpleasant tit his classmates, showed little to no appreciation or interest in anything, but he had always seemed to have a goal in mind. It is said that Warhol aimed to become like Henry Matisse because he was so well known in his career that all he had to do was tear up pieces of paper and glue them together and they would become a masterpiece. Warhol aimed to have that world- wide recognition (Wren 12. ) He began to portray celebrities in his works of art. Although the works had very similar names, they were done in different fashions. This shows how Whorl’s work began to regress and become increasingly experimental in such a short amount of time. Both paintings Double Liz and Double Elvis were done in 1963 and both were done with only the medium as a connection. For Double Liz, Warhol set two enlarged illustrations of Liz Taylor on a canvas that was primed with silver; there is hardly a contrast in themes and the figure blends into the background. He creates a rectangular form that is placed in front of the silver’s background. Double Liz was printed on a single, continuous roll of canvas. When creating Double Elvis, he no longer wanted to show a surface tone and this painting shows Elvis slightly overlapping himself and his dealer Irving Blue was instructed to stretch and cut them to Whorl’s desired taste. The two stars were united in an exhibition at the Freer Gallery. Warhol printed almost entirely on silver backgrounds during his most extreme phase of the exhibition’s preparations which amortized his stars not on the â€Å"great silver screen† but in his silver silkscreen paintings (Can’t 114-117. ) Warhol said, â€Å"No matter how good you are, if you’re not promoted right, you won’t be remembered. â€Å"(Wren 23. ) His statement is completely true and this is one of the reasons he took a liking to portraying celebrities in his images. If the celebrities talked highly of him and created a buzz then he would be remembered Just as they would. Andy began his film career in the early ass’s. He wanted to depict simple would be of Just one actor, smoking or eating, because people go to the movies usually to see the star. They were very raw versions of film. Andy wasn’t doing experimental film; he was really experimenting with people and the way they behaved as a character. Warhol enjoyed making movies that had no script, especially no plot because if it had a plot and you have seen it once, then you wouldn’t want to attach it again because you already know the ending. But if it is Just a conversation between two people, then you can catch things you missed the first time. A major theme in all of Ands work is that he enjoys seeing the same image or scene over and over again. He has been called boring because he likes the same things but whether it’s in his prints or films, you can catch something new and different that you may have noticed the first time you saw them and it might evoke a different feeling upon seeing it again (Andy. The subjects of his movies were unlike those being made in the present day. They were really quite simple. What he created promoted the consumer’s interests, he created for himself but the public fell in love. How to cite Andy Warhol – Paper, Papers Andy Warhol – Paper Free Essays Consumerism can best be defined as the promotion of the consumers’ interests and the theory that an increasing consumption of goods is economically desirable. Andy Warhol was amongst many other artists who were attacked for their open embrace of consumerism. He liked the idea that consumerism could unify Americans’ of all different backgrounds but he believed that there was a lack of creativity and originality in advertising. We will write a custom essay sample on Andy Warhol – Paper or any similar topic only for you Order Now Warhol began to use everyday objects as his subjects’ and built on the movement that was later to be recognized as one ignited by him, known as Pop Art. After Warhol moved to New York, work came quickly for him and within a year of arriving, he received huge assignments as an advertising artist for a variety of high standing clients such as Columbia Records, Tiffany ; Co. , Vogue, and many others (The Andy Warhol Foundation. ) Whatever Andy illustrated from shampoo to perfume, there was a sense of decorative originality and it made his work eye catching. He would place various objects in the advertisement and they always had a slight suggestiveness to them, one that businessmen would recognize and approve (Wren 7. Andy stated that he was paid well for his commercial art and whatever was asked of him to draw or paint he would do it, if they wanted corrections he would do it, and after all those corrections, the commercial art would have attitude and style. He believed that the process of creating commercial art was machine-like but it had feeling to it. Whatever he did was machine-like and it was that way because he wanted it to be, he believed that machines had less problems and he wanted mechanical depictions. Warhol was motivated by money and he wanted to be a businessman/artist. The goal of his art was to make a profit because â€Å"if business art doesn’t support its own space, it goes out of business. † (Wren 12. ) Whorl’s success as a commercial designer was due greatly to his ability to take the uneducated and unskilled collectors and throw them in to the most advanced and sophisticated social setting of professional alienation, this he called advertisement design (Sera 8. ) Then the idea of Pop Art came in to play. Andy Warhol became the symbol of Pop Art and almost single handedly modernized the aesthetic tradition in the art world (Fearer . Pop Art challenged the traditions of fine art by adding in the subjects seen throughout popular culture. Sometimes the subject of the Pop Art is removed from its context and combined with unrelated imagery and material. Pop artists created images that anyone walking down the street would be able to recognize in no time and because of this there was a sense of artistic piracy because these image s were not coming from the artist’s imagination but as something they see and select to make their subject. They were things that ranged from comics and shower curtains to liberties and bras. They were images of all the great things that abstract expressionists tried so hard to not notice at all (Wren 13. ) Andy believed that art should not be for the select few but for the mass of America to enjoy. When asked about one of his most famous paintings, The Campbell Soup Can, he said, â€Å"l wanted to paint nothing. I was looking for something that was the essence of nothing, and the soup can was it. â€Å"(Wren 21 . ) Although as Warhol said he prefers to leave his background as a mystery and whenever asked why he made a particular image he makes up a story. He seems to always forget the story he made up the day before and therefore has to come up with a completely new on the next day to satisfy another person’s question. Andy Warhol bridges the gap between two primary poles in modern art and they are the formal/constructivist branch and the avian-garden branch (Mayer 32-33. )When creating art he would use silk-screens, which is a technique that uses a woven mesh to support an ink-blocking stencil. The attached stencil forms open areas of mesh that transfer ink. A fill blade is moved across the screen stencil, forcing ink into the mesh openings for transfer by capillary action ruing the stroke. Because Andy was not actually drawing on the piece of work, it lost all personal ties with the artist and when he would press the ink filled paper onto what would become the finished piece of work, the lines took an irregular form. Warhol uses repetition in his paintings to guide the on looker away from any feelings of empathy and intimacy. His style ends the need for interpretation because the surface of the work is a recognizable reality that still moves the viewers (Ere 9. Whorl’s work can best be described using Plat’s allegory of the cave that man is rapped in a shadowed realm and subjected to the delusion that the shadows are hardly distinguishable from the real world. In Whorl’s paintings after-images of humanity are projected on a surface that has been altered through color and cosmetics so they become unlike real life. Th e reason he painted so withdrawn can be linked to his lack of social development when he was younger, he was unpleasant with his classmates, showed little to no appreciation or interest in anything, but he had always seemed to have a goal in mind. It is said that Warhol aimed to become eke Henry Matisse because he was so well known in his career that all he had to do was tear up pieces of paper and glue them together and they would become a masterpiece. Warhol aimed to have that world- wide recognition (Wren 12. ) He began to portray celebrities in his works of art. Although the works had very similar names, they were done in different fashions. This shows how Whorl’s work began to progress and become increasingly experimental in such a short amount of time. Both paintings Double Liz and Double Elvis were done in 1963 and both were done with only the medium as a connection. For Double Liz, Warhol set two enlarged illustrations of Liz Taylor on a canvas that was primed with silver; there is hardly a contrast in themes and the figure blends into the background. He creates a rectangular form that is placed in front of the silver’s background. Double Liz was printed on a single, continuous roll of canvas. When creating Double Elvis, he no longer wanted to show a surface tone and this painting shows Elvis slightly overlapping himself and his dealer Irving Blue was instructed to stretch and cut them to Whorl’s desired taste. The two stars were united in an exhibition at the Freer Gallery. Warhol printed almost entirely on silver backgrounds during his most extreme phase of the exhibition’s preparations which amortized his stars not on the â€Å"great silver screen† but in his silver silkscreen paintings (Can’t 114-117. ) Warhol said, â€Å"No matter how good you are, if you’re not promoted right, you won’t be remembered. â€Å"(Wren 23. ) His statement is completely true and this is one of the reasons he took a liking to portraying celebrities in his images. If the celebrities talked highly of him and created a buzz then he would be remembered Just as they would. Andy began his film career in the early ass’s. He wanted to depict simple scenes of how people could meet each other and what they cool d discuss. Some films would be of Just one actor, smoking or eating, because people go to the movies usually to see the star. They were very raw versions of film. Andy wasn’t doing experimental film; he was really experimenting with people and the way they behaved as a character. Warhol enjoyed making movies that had no script, especially no plot because if it had a plot and you have seen it once, then you wouldn’t want to watch it again because you already know the ending. But if it is Just a conversation between two people, then you can catch things you missed the first time. A major theme in all of Andy work is that he enjoys seeing the same image or scene over and over again. He has been called boring because he likes the same things but whether it’s in his prints or films, you can catch something new and different that you may have noticed the first time you saw them and it might evoke a different feeling upon seeing it again (Andy. The subjects of his movies were unlike those being made in the present day. They were really quite simple. What he created promoted the nonuser’s interests, he created for himself but the public fell in love. Warhol was a visionary who used such a vague aspect of pop culture and turned it into a phenomenon. No matter which medium of art he chose to engage in, Whorl’s themes centered on consumerism. His work was driven by the idea of being around celebrities and having money, Just a few years later he would become the celebrity and have the most expensive paintings sold in the United States. Works Cited Books: Can’t, Hate. Andy Warhol The Early Sixties: Paintings and Drawings 1961-1964. How to cite Andy Warhol – Paper, Papers