Capital Expenditure and Investment Evaluation

Assess investments based on alignment with strategies, affordability, acceptable returns and prioritisation of options

Type

Domain

Competency Area

Investment and Financial Management

Levels

Perform investment appraisal techniques on capital expenditure investments

Perform payback and discounted payback techniques for investments

Calculate ARR for investments

Calculate ROCE and other ratios for investments

Assess investment quality

Analyse the strengths and weaknesses of payback and discounted payback techniques to assess investments

Evaluate capital expenditures and financing projects according to defined policies and organisation’s strategic needs

Evaluate investments and maintain returns ratios

Manage Investmnet Quality

Evaluate the strengths and weaknesses of payback, discounted payback, accounting rate of return (ARR), net present value (NPV),

Review and direct investment appraisals and investment decisions for organisational capital management

Maintain return ratios and manage all financial ratios as per policy