What Is Capital Rationing And What Are The Capital Rationing Methods?

Human wants are unlimited but resources are limited. A business with many viable projects as investment opportunities at a particular time will always have a problem of limited funds. So, what should a business with a fixed amount of funds for investment within an accounting period do, when it has many acceptable projects begging forContinue reading “What Is Capital Rationing And What Are The Capital Rationing Methods?”

Expected Value; Meaning, Example And Solution. – Investment Appraisal.

There is no future without risk and uncertainty. An investment is made to guarantee future positive returns and protect such returns against a decline or a loss. It is therefore important to carry out some form of appraisal of the risk and uncertainty associated with an investment or a project.Relying on a single Net PresentContinue reading “Expected Value; Meaning, Example And Solution. – Investment Appraisal.”