Topic: Investment Appraisal Methods Suitable for an Ever Changing Business Environment


You are required to critically evaluate the different methods of investment appraisal and consider if these
methods are suitable for an ever changing business environment and whether they meet the needs of both investors and the wider stakeholder community.

1) Cover a sensible number of appraisal methods
2)Evaluating the methods:
– Focus on what methods tell the business, not the detailed workings
– What are the assumptions behind them?
– What information do they provide?
– How are they different from one another?
– What don’t they tell you?
3) Stakeholders – internal and external
– What are their priorities?
– How well do the different methods address these?
4) The context – a constantly changing business environment