Effective evaluation and management of projects and investments are critically important to a firm and the benefits of the investment should be more than the cost of the investment.
1. In your paper, compare and contrast two of the primary tools of cost-benefit analysis: Net present value (NPV), internal rate of return (IRR), and payback period (PB).
2. Discuss the relevance of cost-benefit analysis as a tool for capital budgeting decision making. 3. Why is capital budgeting decision making an important process in operations management?
