Accounting Foundations: Making Business Decisions Using IRR and NPV

Focused View

Jim Stice and Earl Stice

1:42:12

0 View

01 Introduction

001 Making informed business decisions.mp4

00:49

02 Time Value of Money and Risk-Adjusted Interest Rates

001 Understanding the time value of money.mp4

03:49

002 Time value of money Applying these ideas.mp4

04:40

003 Overview of time value of money terms.mp4

04:00

004 Computing the time value of money.mp4

05:22

03 Discounted Cash Flow Analysis

001 Future cash flows and buying a car.mp4

03:11

002 Basic idea Cash flows timing and risk.mp4

04:25

003 Risk and interest rates.mp4

04:56

004 Forecasting cash flows.mp4

04:33

005 Simple discounted cash flow valuation example.mp4

04:31

04 Capital Budgeting NPV and IRR

001 Introducing capital budgeting.mp4

02:57

002 Capital budgeting overview.mp4

03:59

003 The internal rate of return (IRR).mp4

04:28

004 Example Buying a car in Hong Kong changing forecasted cash flows.mp4

04:16

005 Example Buying a doughnut machine.mp4

04:56

05 Practice Cash Flows by Item or by Year

001 Cash flows for Lily Company Machine.mp4

04:03

002 Calculate NPV and IRR.mp4

04:03

003 Spreadsheet analysis Analyzing cash flows by item and year.mp4

03:18

06 Practice Working Capital Plus Income Taxes

001 The opportunity cost of cash under the mattress.mp4

03:43

002 The time value cost of a working capital requirement.mp4

04:28

003 Income taxes After-tax cash flows from revenues and expenses.mp4

04:50

004 Income taxes The value of the depreciation tax shield.mp4

05:05

005 Computing NPV and IRR with all the complexities.mp4

04:50

006 Spreadsheet analysis Sensitivity to changes in estimates.mp4

04:18

07 Conclusion

001 Capital budgeting helps structure your thinking.mp4

02:42

Description

Business leaders eying risky investments have no more ability to peer into the future than the average family deciding on a home. They do, however, have time-tested strategies—including the calculation and consideration of net present value (NPV) and internal rate of return (IRR)—to help them structure their long-term decisions. In this course, accounting and finance professors Jim and Kay Stice delve into these concepts, explaining how calculating NPV and IRR, as well as applying the foundations of the time value of money, can help businesses make smart decisions. Jim and Kay cover the importance of determining the amount, timing, and riskiness of future cash flows when deciding whether to undertake a long-term project. They also discuss how to construct a capital budgeting analysis, calculate NPV and IRR, assess opportunity costs, and more. Along the way, they provide lighthearted, practical examples that illuminate how each concept plays out in the real world.

More details

User Reviews

Rating

average 0

Total votes0

Focused display

Accounting

Jim Stice and Earl Stice

Instructor's Courses

I am the Distinguished Teaching Professor in the Marriott School of Management at Brigham Young University. I have served as an Associate Dean of the Marriott School. I also served for eight years as the director of BYU's MBA Program. I hold bachelor's and master's degrees in accounting from BYU and a PhD in accounting from the University of Washington. I have been on the faculty at BYU since 1988. During my time at BYU, I have been selected by graduating accounting students as “Teacher of the Year” on numerous occasions; I was selected by my peers in the Marriott School at BYU to receive the “Outstanding Teaching Award,” and I was selected by the University to receive its highest teaching award, the Maeser Excellence in Teaching Award. I have taught in academic and executive education programs in the United States, Europe, South Africa, Singapore, and China for such companies as IBM, Bank of America, and Ernst & Young. I have published articles in the Journal of Accounting Research, The Accounting Review, Decision Sciences, Issues in Accounting Education, The CPA Journal, and other academic and professional journals. In addition to teaching and research, I have served on the board of directors of a publicly-traded company that was taken private and on the Audit Committee for Deseret Management Corporation. I have been writing accounting textbooks since 1990. I am co-author of Intermediate Accounting, 19th edition; Accounting: Concepts and Applications, 11th edition; and Financial Accounting: Reporting and Analysis, 7th Edition. I am now the co-creator (with my brother Kay and with our colleague Steve Albrecht) of online textbooks for Financial and Managerial Accounting courses at MyEducator.com. My brother Kay and I have been teaching accounting for decades. Together we have over 70 years of experience in the classroom. We are passionate about teaching accounting and are grateful for the opportunity afforded us on LinkedIn Learning to share our passion with others.

Linkedin Learning

View courses Linkedin Learning

LinkedIn Learning is an American online learning provider. It provides video courses taught by industry experts in software, creative, and business skills. It is a subsidiary of LinkedIn. All the courses on LinkedIn fall into four categories: Business, Creative, Technology and Certifications. It was founded in 1995 by Lynda Weinman as Lynda.com before being acquired by LinkedIn in 2015. Microsoft acquired LinkedIn in December 2016.