{"id":22200,"date":"2023-06-17T20:53:29","date_gmt":"2023-06-17T20:53:29","guid":{"rendered":"https:\/\/www.goodacademic.com\/blog\/questions\/discussion-4-capital-budgeting-ch-9-this-assignment-is-intended-to-help-you-learn-to-explain-the-inputs-to-decision-making-with-the-net-present-value-method-of-capital-budgeting\/"},"modified":"2023-06-17T20:53:29","modified_gmt":"2023-06-17T20:53:29","slug":"discussion-4-capital-budgeting-ch-9-this-assignment-is-intended-to-help-you-learn-to-explain-the-inputs-to-decision-making-with-the-net-present-value-method-of-capital-budgeting","status":"publish","type":"questions","link":"https:\/\/www.goodacademic.com\/blog\/questions\/discussion-4-capital-budgeting-ch-9-this-assignment-is-intended-to-help-you-learn-to-explain-the-inputs-to-decision-making-with-the-net-present-value-method-of-capital-budgeting\/","title":{"rendered":"Discussion 4: Capital Budgeting (Ch.9): This assignment is intended to help you learn to explain the inputs to decision making with the net present value method of capital budgeting."},"content":{"rendered":"<p><b>Overview:<\/b><\/p>\n<div><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\"><br \/><\/span><\/div>\n<div><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">An article <b><i>(provided) <\/i><\/b>that appeared in<\/span><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit; cursor: auto;\">&nbsp;<\/span><em style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit; cursor: auto;\">The Wall Street Journal<\/em><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit; cursor: auto;\">&nbsp;<\/span><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">mentions the magnitude of impairments that have arisen as a result of the Covid-19 pandemic (<\/span><a style=\"font-variant-ligatures: inherit; font-variant-caps: inherit; cursor: auto;\"><span style=\"cursor: auto; color: inherit;\">Maurer, 2020<\/span><span style=\"cursor: auto; color: inherit;\"><span style=\"margin: -1px -1px 0px; cursor: auto; color: inherit;\">Links to an external site.<\/span><\/span><\/a><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">). As pointed out in the article, the decision to take an impairment charge is an acknowledgement that the future is not expected to play out as it once was expected to.<\/span><\/div>\n<div>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\">Long-lived capital projects may be particularly vulnerable to failing to meet expectations. Much like what you have encountered in the course, these projects are evaluated with present value methods.<\/p>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\"><\/p>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\"><b>Action Items:<\/b><\/p>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\"><\/p>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\">1.&nbsp;<span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">By the due date indicated, create an initial post that answers the following:<\/span><\/p>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\"><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">&#8211;<\/span><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">What is it that a company like Chevron overlooked in making its decision to invest in Venezuela?<\/span><\/p>\n<p style=\"margin: 12px 0px; cursor: auto; color: inherit;\"><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">&#8211;<\/span><span style=\"color: inherit; background-color: var(--color-6); font-variant-ligatures: inherit; font-variant-caps: inherit;\">If you were responsible for determining the net present value of Chevron\u2019s Venezuela operations, how would you modify the inputs to your calculation if you felt there were greater than anticipated risks?<\/span><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Overview: An article (provided) that appeared in&nbsp;The Wall Street Journal&nbsp;mentions the magnitude of impairments that have arisen as a result of the Covid-19 pandemic (Maurer, 2020Links to an external site.). As pointed out in the article, the decision to take an impairment charge is an acknowledgement that the future is not expected to play out [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","template":"","meta":[],"disciplines":[676],"paper_types":[],"tagged":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/questions\/22200"}],"collection":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/questions"}],"about":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/types\/questions"}],"author":[{"embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/comments?post=22200"}],"version-history":[{"count":0,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/questions\/22200\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/media?parent=22200"}],"wp:term":[{"taxonomy":"disciplines","embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/disciplines?post=22200"},{"taxonomy":"paper_types","embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/paper_types?post=22200"},{"taxonomy":"tagged","embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/tagged?post=22200"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}