Capital Budgeting Techniques: A Practical Approach with Maroof Azam

Learn how to evaluate long-term investment decisions using five essential capital budgeting techniques used in corporate finance.

This personalised session focuses on understanding the logic behind each technique, working through numerical examples, and interpreting results to make informed investment decisions.

What You Will Learn

Net Present Value (NPV): Evaluate whether an investment creates value by discounting future cash flows to their present value.

Internal Rate of Return (IRR): Determine the rate of return implied by a project's cash flows and understand its decision-making limitations.

Modified Internal Rate of Return (MIRR): Understand how MIRR addresses certain limitations of IRR through explicit financing and reinvestment assumptions.

Payback Period: Calculate how quickly an investment recovers its initial cost and understand the limitations of this method.

Discounted Payback Period: Measure the recovery period after accounting for the time value of money.

Who Is This Session For?

Students studying corporate finance, financial management, or capital budgeting.

Learners who find investment appraisal concepts and numerical problems challenging.

Working professionals seeking to strengthen their finance fundamentals.

Session Takeaway

By the end of the session, you will be able to calculate and interpret all five techniques, understand when each method is useful, and recognise why different techniques may lead to different investment decisions.

A personalised learning experience: Bring your questions and areas of difficulty. We will work through the concepts at your pace, with a focus on conceptual clarity and numerical problem-solving.