Evaluation and direct investment finance

Evaluation and direct investment finance is a synthesis of the main theoretical, methodological and applied issues on real investments, some of them finding applicability on a case study designed and developed during the work.

In the first work, structured in five chapters, is a macroeconomic analysis of the processes of consumption-saving-investment to achieve economic balance and to highlight strategic issues in investment analysis. In the second chapter – Models for estimating the cash flows and discount rate used in the investment analysis – are given these two basic elements necessary in any evaluation process, focusing on key concepts of substantiation the investment and financing decision: cost of capital and cash flow. The third chapter aims to provide indicators for assessing investment projects in environment certainly (such as NPV or IRR), but also models applicable in uncertain environment. The fourth chapter is devoted to evaluating the Option to Delay, abandonment and expansion, to present a case study on the investment in the production of glass bricks. The last chapter of the paper integrates financing policy in decision making.