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Going through the previous reports given to me by Denise, I have been looking at the way that Rivits Ltd formerly decided which investment project to choose.  

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To: Dan Kitson Of Interest to Those Responsible For: Investment Decision Reference 2003/545 Publication Date: December 2003 Enquires to: Chris Hampton 01756 765329 ChrisHampton@deka.co.uk 1 Executive Summary 2 Aims 2.1 To justify why Rivits Ltd should change to the NPV investment decision system. 2.2 Examples of how NPV works 2.3 What other techniques can be used 2.4 Analysis of calculations - why I have included certain things 2.5 What is NPV? What is wrong with the current system? Good and Bad points of NPV 2.6 Sensitivity Analysis 2.7 What type of Company is Rivits Ltd 3 Introduction 3.1 Going through the previous reports given to me by Denise, I have been looking at the way that Rivits Ltd formerly decided which investment project to choose. After having looked at the reports I have come up with a new more systematic investment appraisal technique using the net present value. A poor appraisal technique that does not ask the right questions and provides an erroneous conclusion will destroy the wealth of the shareholder, which for Rivits Ltd and any company is not...

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