until now single values of irr are traditionally used to estimate the time value of cash flows. since uncertainty exists in estimating cost data, the resulting decision may not be reliable. the most commonly cited drawbacks to using the internal rate of return in evaluatton of deterministic cash flow streams is the possibility of multiple conflicting internal rates of return. in this paper we p...

In this work, we build on a previous real options approach that utilizes managerial cash-flow estimates to value early stage project investments. Through a simplifying assumption, where we assume that the managerial cash-flow estimates are normally distributed, we derive a closedform solution to the real option problem. The model is developed through the introduction of a market sector indicato...

In order to obtain SEO (Secondary Equity Offering) qualification, china listed companies would do different levels of earnings management centering on accounting earnings indicators. While previous researches on earnings management are mainly focused on enterprise management authorities’ accruals manipulation. In fact, in order to avoid losses, the user of statements would pay more attention to...

Cash takeover bids financed from internally generated cash reserves could be a function of capital market imperfections (Myers and Majluf 1984) or symptomatic of “free-cash-flow” problems (Jensen 1986, 1988). We find that bids financed from cash reserves outperform those that use debt financing. Further, ‘free cash flow’ firms outperform ‘non-free cash flow’ firms. The majority of cash bids are...

This research explores the practical feasibility and effectiveness of BIM-enabled education in teaching topic project cash flows to construction management students. Using a participatory action methodology, flow exercise was developed, carried out refined investment course simulate integrated practice. The results implementation demonstrate that can promote infuse both BIM collaboration profes...

This paper documents the short and long term balance sheet effect of cash flows. We show that cash savings in the short run and debt reduction in both the short and the long run account for a substantial fraction of cash flow use. Although, in the long run, investment exhibits substantial sensitivity to cash flows, investment does not absorb the entire cash flow shock. In fact, the tighter the ...

Several real options analysis techniques designed for practitioners exist in literature, but there is discrepancy in their underlying assumptions, mechanics and applicability. Within this paper, a review of approaches targeted towards practitioners is included, and a novel way of integrating market and private uncertainties is proposed. Market risk is incorporated into the dynamics of the proje...

In order to deal with imprecision inherent in the planning and scheduling of projects, various extensions of CPM (Critical Path Method) and PERT (Program Evaluation and Review Technique) have been proposed in the literature. The main aim of these studies has mainly been the application of Fuzzy Set Theory in the computation of activity start and completion dates, and consequently in the calcula...