Business Management → Accounting & Finance

Capital Budgeting


Description
This course in finance is designed to introduce you to fundamental concepts and processes in capital budgeting. Throughout the course project, you will learn how to evaluate growth assumptions, forecast the future cash flows of a project, calculate working capital requirements, estimate the relevant free cash flows, calculate a firm's cost of capital, and apply basic decision rules for capital budgeting.
Content
  • Orientation
  • About This Course
  • Project Scenario
  • Project Scenario Description
  • Task 1
  • Task 1 Description
  • USRail Financial Data
  • Laredo Railroad Financial Data
  • Laredo Project Growth Assumptions
  • USRail Acquisition Guidelines
  • AC/DC Locomotive Analysis
  • Valuation Methods
  • Comparing Projects with Unequal Lives
  • Determining The Discount Rate
  • Applying the Discount Rate
  • Task 2
  • Task 2 Description
  • Laredo Railroad Financial Data
  • Laredo Project Growth Assumptions
  • USRail Acquisition Guidelines
  • Capital Budgeting Defined
  • Forecasting Basics
  • Financial Statements: Income Statement
  • TASK 3
  • Task 3 Description
  • Laredo Railroad Financial Data
  • Laredo Project Growth Assumptions
  • USRail Acquisition Guidelines
  • Net Working Capital
  • Estimating Free Cash Flows
  • Financial Statements: Balance Sheet
  • TASK 4
  • Task 4 Description
  • Laredo Railroad Financial Data
  • Laredo Project Growth Assumptions
  • USRail Acquisition Guidelines
  • Net Working Capital
  • Taxes and Depreciation
  • Estimating Free Cash Flows
  • Inflation
  • Financial Statements: Balance Sheet
  • Financial Statements: Income Statement
  • Financial Statements: Statement of Cash Flows
  • TASK 5
  • Task 5 Description
  • USRail Financial Data
  • Laredo Railroad Financial Data
  • Laredo Project Growth Assumptions
  • USRail Acquisition Guidelines
  • Valuation Methods
  • Determining The Discount Rate
  • Applying the Discount Rate
  • Terminal and Salvage Values
  • Discussion
  • Discussion Assignment
  • Post Survey
  • Survey for Capital Budgeting
Completion rules
  • You must complete the units "Task 1 Description, Task 2 Description, Task 3 Description, Task 4 Description, Task 5 Description, Discussion Assignment"