Chapter 15
Making Investment Decisions
In This Chapter
• Recognizing the time value of money
• Understanding major investment decisions
• Analyzing a business investment in three ways
• Deciding whether to lease or buy an asset
Major investment decisions are among the most important—and difficult—decisions you will face as a manager. They involve large sums of money and affect the company’s long-term future. These decisions also affect people’s jobs.
They can even affect your job. Company shareholders and boards of directors take an extremely dim view of poor investment decisions.
 
Decisions with so much at stake require careful analysis. This chapter shows you how to analyze major business investment decisions. But first you need to know some ...

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