Budgeting & Planning Flashcards

1
Q

Strategic planning

A

1) develop an understanding of existing businesses
2) identify new business opportunities
3) analyze alternatives
4) develop strategic plan
5) implement the plan

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

External factors afffecting planning

A

1) political environment
2) regulations
3) complexity of projects
4) technology
5) complex schedules
6) owners
7) competition

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

NPV

A

NPV > 0 means that the project covers the Companys weighted average cost of capital (thats a good thing) NPV <0 means bad project.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly