- NY Credits : 3.0
- TX Credits : 3.0
Capital Budgeting and Management
This course presents the basic premise of capital management as well as capital budgeting by explaining the key terms related to capital management like working capital, financial capital, venture capital, business capital and capital assets. Next, the course presents valuable metrics used in managing working capital like the current ratio, quick ratio and the cash ratio. The second chapter expands the topic of metrics by explaining major capital investment evaluation techniques for capital analysis and assessments to include the time value of money, net present value, payback period, internal rate of return, modified rate of return and the profitability index. These formulas and tools for calculating these formulas for efficiency and accuracy is provided in this course. This course is most beneficial to professionals new to capital budgeting who may be at the staff or entry level in organization but also for a seasoned professional with limited exposure to capital budgeting.
Upon successful completion of this course, the user should be able to:
identify key terms related to capital management,
identify metrics used in managing working capital,
identify key metrics used in a capital budget,
utilize some calculation formulas used common in capital budgeting decisions,
recognize policies and procedures relative to capital expenditures, and
identify the benefits of having predefined capital expenditure policies and procedures.