How to Make Better Capital Investment Decisions and Recognise Investment Opportunities

How do project launches and investing in different industries help organisations around the world to grow successfully?

That’s where capital investment appraisal comes in. The analysis and evaluation of projects and investment opportunities on the basis of economic, cost and financial data is a crucial building block of these types of investments.

On this course, you’ll have the chance to learn how to determine the financial viability for each and every project under consideration through the exploration and application of different investment appraisal techniques.

You’ll also have the opportunity to explore the payback method and the accounting rate of return, and look at how to make investment decisions.

IRR explained: learn how to compare discounting methods

You’ll be introduced to the internal rate of return, or IRR. This metric is used to estimate the profitability of potential investments. You’ll find out how to use this powerful financial analysis metric and learn how to compare discounting methods.

Compound interest: understanding the time value of money

How does compound interest work? And why is it such a vital concept when it comes to borrowing, saving, or investing?

You’ll unlock the power of compound interest in relation to the net present value (NPV), also known as the ‘time value of money’. This is a basic financial concept that suggests money in the present is worth more than receiving the same sum in the future.

This course is designed for anyone looking to build their financial data analysis and interested in using data for business decision making.

It will be of particular interest to people in senior management and leadership roles who lack an accounting background, especially if you wish to learn the skills to help you make better decisions and advance your career.

You can enhance your learning experience by following related courses, designed by Coventry University:

• Financial Statements Unlocked: How to Understand Corporate Finance and Financial Management
• How to Master Financial Statements: Financial Ratio Analysis and Interpretation
• Break-Even Analysis Unlocked: How to Understand the Profit and Loss Statement
• Divisional Performance Measurement: How to Achieve Operational Excellence

• Methods used in capital investment appraisal
• Getting started
• Capital investment decisions
• The payback method
• Accounting rate of return
• Summary and reflection
• Discounting methods
• Welcome to Week 2
• Introducing net present value (NPV)
• Internal rate of return (IRR)
• Comparing discounting methods
• Summary and reflection