Balance: Jurnal Ekonomi
Vol. 17 No. 2 (2021): (December 2021)

CAPITAL BUDGETING ANALYSIS TO ASSESS THE FEASIBILITY OF INVESTMENT IN STATE-OWNED IDLE ASSETS

Ardhi, Dipta (Unknown)
Hidayatuloh, Rohmat (Unknown)



Article Info

Publish Date
26 Dec 2021

Abstract

The purpose of this study is to determine and assess the feasibility of investment plans on idle state-owned assets in the context of optimizing assets using the capital budgeting method so that it can be known whether or not it is feasible to implement. This study uses a descriptive type of research with a case study approach. Research conducted on the assets of Ruko Kalimalang shows that by using the capital budgeting method, it can be seen that the investment plan is feasible to implement using the most optimal scheme, namely as is. The results of calculations using the payback period method show that the time required to return the investment is 2.66 years, less than the economic life of the asset, which is 15 years. The result of the calculation using the net present value (NPV) method is Rp. 131.137.929, -. This result is considered favorable because the NPV is positive (NPV> 0). The method of internal rate of return (IRR) is feasible to implement with the results of the IRR calculation being greater than the discount rate, namely 37.25% > 10%. Meanwhile, the profitability index is 2.86 > 1.

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Journal Info

Abbrev

jeb

Publisher

Subject

Economics, Econometrics & Finance

Description

Balance: Jurnal Ekonomi has p-ISSN 1858-2192 and e-ISSN 2686-5467 published by the Development Economics Study Program of the Faculty of Economics and Business, Muhammadiyah University of Makassar, this journal publishes research articles in the field of Economics. This journal publishes research ...