中文Week_11 Cross broader capital budgeting.pptxVIP

Cross-Border Capital BudgetingWeek 11Chapter 14Problem set 3跨境资本预算Week 11Chapter 14Problem set 3Learning objectivesCapital Bugeting-basicCompare the capital budgeting analysis of an MNC’s subsidiary versus its parentDemonstrate how multinational capital budgeting can be applied to determine whether an international project should be implementedShow how multinational capital budgeting can be adapted to account for special situations such as alternative exchange rate scenarios or when subsidiary financing is consideredExplain how the risk of international projects can be assesse学习目标资本预算-基础跨国公司子公司与母公司资本预算分析的对比论述跨国资本预算如何用于决定一个国际项目是否应被执行。说明跨国资本预算如何适应特殊情况，如不同的汇率条件或考虑子公司融资时。解释如何评估国际项目的风险Capital Budgeting – BasicMain FeaturesConcern about projects which bring benefits in the long-runRelatively large capital commitmentDecide the firms strategic directionMore uncertain cash flowsDifficult to reverseMore risky资本预算–基础主要特点关注具有长远收益的项目相对较大的资本投入决定公司的战略方向更加不确定的现金流难以撤销更大风险Capital Budgeting – BasicType of projectsCapital ProjectsNew project(A new line of business which different to the existingExpansion(Related with the business capacity) Replacement(replacing a old assets using a new assets)Independent projects : A project whose acceptance or rejection is independent of the acceptance or rejection of other projectsDependent projects: A project whose acceptance or rejection is dependent of the acceptance or rejection of other projects资本预算 – 基础项目类别资本项目新项目(一项不同于现有业务的新增业务）扩张(与业务能力（产能）有关) 替代(用新资产替换旧资产)独立项目: 项目的接受或拒绝与其他项目的接受或拒绝无关。关联项目: 项目的接受或拒绝取决于其他项目的接受或拒绝Capital Budgeting-BasicIdentifying relevant cash-flow incremental cash flows and opportunity costsNon cash item and sunk costsinitial, operation and terminal cash-flows)Capital budgeting criteriaDiscounted (NPV, IRR and PI)Non-discounted (ARR and payback)Time value of moneyExpected cash flows from a project are adjusted to their timing using a discount rate.Required Rate Return: Minimum return which is required to accept or reject a pro