Evaluation of Economic Efficiency of the Investment Project in the Company

Bc. Yichen Yu

Bachelor's thesis

Abstract:

Since the 21st century, with the continuous progress and development of society, the rapid development of socialist economy and the increasing number of various types of projects, in order to better ensure the rationality, feasibility and economic benefits of these projects, it is necessary for the relevant departments to use scientific methods for comprehensive audit and evaluation. The aim of my bachelor thesis is to analyze the economic efficiency of the Investment project, i.e. WK Qihang Light Project between years 2014-2018 using selected static and dynamic methods of investment decision making. To support that main statement, firstly, financial analysis of the company WK Enterprise Co., Ltd. between examined years also has been conducted to show if the company has is efficient number of sources to cover the examined project. Finally, conclusion if the company should accept or denied given project using above-mentioned factors and methods has been given. Also, research questions were examined as follows: How to judge the economic benefits of an investment project? What indicators can be used for the assessment? What are the effective analysis methods and assessment methods that can be used in the assessment? When choosing the evaluation method, we need to study the actual situation to make the choice. In the evaluation of investment projects, the selection of evaluation methods is one of the key factors to evaluate accurately and scientifically. Therefore, it is very important to study the evaluation method of investment projects.

Abstract:

Since the 21st century, with the continuous progress and development of society, the rapid development of socialist economy and the increasing number of various types of projects, in order to better ensure the rationality, feasibility and economic benefits of these projects, it is necessary for the relevant departments to use scientific methods for comprehensive audit and evaluation. The aim of my bachelor thesis is to analyze the economic efficiency of the Investment project, i.e. WK Qihang Light Project between years 2014-2018 using selected static and dynamic methods of investment decision making. To support that main statement, firstly, financial analysis of the company WK Enterprise Co., Ltd. between examined years also has been conducted to show if the company has is efficient number of sources to cover the examined project. Finally, conclusion if the company should accept or denied given project using above-mentioned factors and methods has been given. Also, research questions were examined as follows: How to judge the economic benefits of an investment project? What indicators can be used for the assessment? What are the effective analysis methods and assessment methods that can be used in the assessment? When choosing the evaluation method, we need to study the actual situation to make the choice. In the evaluation of investment projects, the selection of evaluation methods is one of the key factors to evaluate accurately and scientifically. Therefore, it is very important to study the evaluation method of investment projects.

Keywords

Project, Investment, Investment efficiency, Financial analysis, Evaluation method

Language used: English

Date on which the thesis was submitted / produced: 14. 5. 2019

Thesis defence

• Date of defence: 18. 6. 2019
• Supervisor: Ing. Eva Kostikov, Ph.D.
• Reader: doc. RNDr. Petr Budinský, CSc.

University of Finance and Administration

Bachelor programme / field:
Economics and Management / Business Management and Corporate Finance & Bachelor of Science in Business Administration