Course Details

Investments

Academic Year 2023/24

NVA068 course is part of 1 study plan

​ NPC-ARS / ARA Summer Semester 1st year

The parting of sorts of investment, possibilities of investment, forms and sorts of investment activities. Measuring of investment efficiency, specifics of investment in the civil engineering and structural activity. Influence of investment volume on economic results, partnership with foreign investors. Students know the role of investment in national economy, pattern of investment as structural activity and measuring of investment efficiency.

Credits

4 credits

Language of instruction

Czech

Semester

summer

Course Guarantor

prof. Ing. Jana Korytárová, Ph.D.

Institute

Institute of Structural Economics and Management

Forms and criteria of assessment

course-unit credit and examination

Entry Knowledge

Knowledge of financial and taxation issues.

Aims

Goal of this subject are knowledge for bussiness plan including variant of finance.
Creation of model for calculation economic a financial feasibility of investment projects. Elaboration of Feasibility Study.

Basic Literature

KORYTÁROVÁ, Jana. Ekonomika investic (el. stud. opora FAST VUT), 2020 (cs)
FOTR, Jiří a Ivan SOUČEK. Investiční rozhodování a řízení projektů, Praha: Grada Publishing, a.s., 2011 (cs)
BAUM, Andrew. Real Estate Investment. A Strategic Approarch. Routledge, New York, 2022. ISBN 9780367690694. (en)
FURFINE, Craig. Practical Finance for Property Investment. Routledge, New York, 2020. ISBN 9780367333041. (en)

Syllabus

1. Theoretical aspects of investment, economic policy
2. Cycle and phases of investment plan
3. Feasibility study
4. Total project costs (investment costs, working capital)
5. Financing of investment projects (internal and external resources)
6. Capacity, production inputs. Returns and production costs.
7. Income statement, balance sheet, CF statement
8. Economic efficiency of investment ratios (NPV, IRR, PB)
9. Risk and uncertainty analysis (profit, sensitivity and probability analysis)
10. Project evaluation with risk and uncertainty – probability and decision trees
11. Project evaluation with risk and uncertainty – decision matrix, decision rules
12. Inflation, nominal and real values
13. Portfolio theory

Prerequisites

Knowledge of financial and taxation issues.

Specification of controlled instruction, the form of instruction, and the form of compensation of the absences

Extent and forms are specified by guarantor’s regulation updated for every academic year.

Offered to foreign students

Not to offer

Course on BUT site

https://www.vut.cz/en/students/courses/detail/271107

Lecture

13 weeks, 2 hours/week, elective

Syllabus

1. Theoretical aspects of investment, economic policy

2. Cycle and phases of investment plan

3. Feasibility study

4. Total project costs (investment costs, working capital)

5. Financing of investment projects (internal and external resources)

6. Capacity, production inputs. Returns and production costs.

7. Income statement, balance sheet, CF statement

8. Economic efficiency of investment ratios (NPV, IRR, PB)

9. Risk and uncertainty analysis (profit, sensitivity and probability analysis)

10. Project evaluation with risk and uncertainty – probability and decision trees

11. Project evaluation with risk and uncertainty – decision matrix, decision rules

12. Inflation, nominal and real values

13. Portfolio theory

Exercise

13 weeks, 2 hours/week, compulsory

Syllabus

1. Assessment of the cost-effectiveness of projects.
2. SWOT analysis - Case Study.
3. Analysis of problems and solutions.
4. Logical Framework - Case study. Determination of connection hypotheses. Entering the project.
5. Individual project work - Logical Framework.
6. Presentation of results.
7. Cost methods of project evaluation - Case Study.
8. CBA analysis. Cost-effectiveness of the project. Individual work.
9. CBA analysis. The economic efficiency of the project. Individual work.
10. – 11. CBA analysis. The sensitivity analysis. Individual work.
12. Presentation of results.
13. Credit.