This paper employs real option approach (ROA) to study the decision of ABC adoption and discontinuation under uncertainty. The general idea behind is that investing in ABC system is an option-rights as in financial American call option. The proposed model takes the total annual number of production of a firm as the primary decision variables. The added annual net profits after establishing ABC ...

Replacing fossil flues by renewable and sustainable energies have been the concern of scientists working in this area over the recent decades. Furthermore, greenhouses play a key role in producing various crops year-round and in bohemian climates. For this objective, the greenhouses employ heating, ventilating and air conditioning (HVAC) systems to provide the favourable conditions for the cons...

the purpose of this study was to evaluate the profitability of hatchery litter recycling into poultry feedstuff supplement. the data were collected in 2011 in 4 provinces, by direct interviewing of all hatcheries which used the hatchery litter drying machine. net present value (npv), benefit-cost ratio (bcr), and internal rate of return (irr) methods were applied for this analysis. in the studi...

The purpose of this study was to evaluate the profitability of hatchery litter recycling into poultry feedstuff supplement. The data were collected in 2011 in 4 provinces, by direct interviewing of all hatcheries which used the hatchery litter drying machine. Net Present Value (NPV), Benefit-Cost Ratio (BCR), and Internal Rate of Return (IRR) methods were applied for this analysis. In the studi...

Traditional valuation tools do not adequately support management’s decisions because they ignore the benefits of managers’ flexibility and future opportunities. A new technique for evaluating strategic investment decisions is the real options approach, which is capable of including the value of active management and strategic opportunities under uncertainty. This paper applies real options tech...

Abstract Customer Lifetime Value (CLV) is known as an important concept in marketing and management of organizations to increase the captured profitability. Total value that a customer produces during his/her lifetime is named customer lifetime value. The generated value can be calculated through different methods. Each method considers different parameters. Due to the industry, firm, business...

In the present paper we develop recursive algorithms to evaluate the distribution of the net present value (abbreviated as ”NPV”) of a health care contract. The duration of the program is a random variable representing the lifetime of an individual. We suggest a discrete time phase-type approach to model individual health care costs. In this approach, annual health care costs depend naturally o...

in recent years, sexed semen has been commercially available. due to its lower fertility and higher price compared to conventional semen, economic evaluation should be undertaken before recommending the technology to dairy producers in each country. the objectives of the present study were to evaluate the advantages and disadvantages of the sexed semen usage at farm level in economic conditions...

QUESTIONS What is the economic value for an individual to invest in physiotherapy undergraduate education in Australia? How is this affected by increased education costs or decreased wages? DESIGN A cost-benefit analysis using a net present value (NPV) approach was conducted and reported in Australian dollars. In relation to physiotherapy education, the NPV represents future earnings as a phy...