3037 Valuation of Projects in the Public Sector
Content
- Features of projects in the public sector – distinctive characteristics compared to commercial projects
- Capital budgeting in the public sector
- Benefit – Cost Analysis
- Economic and cash flow of projects
- Economic valuation criteria
- Financial valuation criteria
- The cost of capital estimating
- Quantification of risk
- Basics of real option valuation
- Ranking of projects – multi-criteria analysis
Objectives and competences
Student:
- Advanced knowledge of internal financial analysis.
- Understanding key characteristics of different types of assets and creating investment projects.
- Acquiring specific knowledge of organization and capital budgeting procedures.
- Understanding the scope and limits of different financial decision rules for investment projects.
- Acquiring specific knowledge of cash flow estimation. Acquiring knowledge of analysis and risk estimation and incorporating relevant risk into project efficiency.
- Understanding real options and acquiring knowledge of incorporating option value in real NPV.
Competences:
- able to collect and understand wider knowledge in the field of capital budgeting in public sector,
- application of methods, technics and tools for valuation and ranking of projects,
- able to develop theory and methodlogy in the field of real investment,
- able to take an real investment decisions