TAILIEUCHUNG - Lecture Cost management: A strategic emphasis - Chapter 12: Strategy and the analysis of capital investments

In this chapter, the learning objectives are: Explain the strategic role of capital-investment analysis, describe how accountants can add value to the capital- budgeting process, provide a general model for determining relevant cash flows associated with capital-expenditure projects, apply discounted cash flow (DCF) decision models for capital-budgeting purposes, | Strategy and the Analysis of Capital Investments Chapter Twelve McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. 12-2 Explain the strategic role of capital-investment analysis Describe how accountants can add value to the capital- budgeting process Provide a general model for determining relevant cash flows associated with capital-expenditure projects Apply discounted cash flow (DCF) decision models for capital-budgeting purposes Learning Objectives 12-3 Deal with uncertainty in the capital-budgeting process Discuss and apply other capital-budgeting decision models Identify behavioral issues associated with the capital-budgeting process (Appendix A): Understand and use alternative presentation formats for the asset-replacement decision Learning Objectives (continued) 12-4 (Appendix B): Identify selected advanced considerations in making capital-investment decisions Learning Objectives (continued) 12-5 Introductory Definitions Capital budgeting: Procedures used to identify, select, monitor, and control capital (., long-term) investments Capital investments: Long-term projects involving substantial initial cash outlays followed by a series of future cash returns Capital budget: Part of the organization’s master budget (Chap. 10) that deals with the current period’s planned capital investment outlays 12-6 Introductory Definitions (continued) Discounted cash-flow (DCF) decision models: Decision models (e. g., NPV and IRR) for capital budgeting that explicitly incorporate the time-value-of-money Weighted-average cost of capital (WACC): Under normal circumstances, the discount factor used in DCF capital-budgeting decision models Estimated as a weighted average of the cost of obtaining capital from various sources (., equity and debt) Non-discounted cash flow decision models: Capital budgeting decision models that do not incorporate the time-value-of-money into the analysis of capital investment projects 12-7 Role of .

• Quản trị kinh doanh
• Cost management
• Cost systems
• Lecture Cost management
• Operational performance measurement
• Discounted cash flow
• Capital investments
• Management control systems
• Cost accounting
• Fundamentals of cost accounting
• Cost analysis
• Cost management systems
• Strategic performance measurement
• Cost management information
• Financial reporting
• Resource capacity management
• Indirect cost variances
• Cost allocation
• Cost allocation bases
• Cost estimation
• Cost estimation methods
• Ebook Management and cost accounting
• Management and cost accounting
• Management accounting
• Cost assignment
• Process costing
• Cost volume profit analysis
• Project management
• Lecture Project management in practice
• Project cost management
• Project perspective
• Cost management plan
• Cost versus expenses
• Cost volume profit
• Short term profit planning
• Cost planning
• Product life cycle
• Direct cost variances
• Nonfinancial performance measures
• Cost centers
• Profit centers