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Chapter 2

Investment appraisal

Outcome

By the end of this session you should be able to:

 evaluate investment projects using discounted cash flow techniques (such as
NPV, IRR, MIRR, duration),

 discuss the relative merits of NPV and IRR,

 assess the impact of a significant capital investment project upon the reported
financial position and performance of the organisation,

and answer questions relating to these areas.

The underpinning detail for this chapter in your Integrated Workbook can
be found in Chapter 2 of your Study Text

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