In winter it is common with frost formation in plate heat exchangers. During defrosting, the heat recovery efficiency decreases and the heat rate requirement for post-heating increases. One way to avoid frost formation is to preheat the ventilation air with geothermal energy, a so-called GeoMVHR system. This study examines the profitability of eliminating the requirement for post-heating using geothermal energy to preheat the incoming ventilation air. The study evaluates the profitability for two locations in Sweden, Stockholm and Gothenburg. The method used is the internal rate of return. The heat rate requirement for post-heating in an MVHR system without geothermal outdoor preheating and the power for operating a GeoMVHR system that eliminates the requirement for post-heating is calculated. The internal rate of return was 5.7% for Gothenburg and 5.3% for Stockholm. The conclusion was that the GeoMVHR systems could be seen as a profitable investment.

Master of Agribusiness / Department of Agricultural Economics / Christine Wilson / During the past two decades, there has been major consolidation in the grain handling industry. Staying competitive in today’s environment involves finding projects that add value from a strategic geographic standpoint and a revenue generation standpoint. This study examines several economic factors regarding growth opportunities of facility assets that exist in Northern Kansas, and what the associated cost structure would look like based on a business feasibility study. This study researched the county production by volume and acreage devoted to crop production as well as bid structures and freight spreads of competitors currently in the region today. It also involved researching the margin structures, and it considered a strategic decision about the size of facility that could be built on the existing margin opportunity. Several economic theories were used to derive the feasibility of this research and measure the profitability of the project. Farmer sentiment was polled and a focus group was assembled to understand the opportunity that Scoular may have in the region. The results found a region that provides a steady volume of crop production and margins that are typical of those that Scoular is experiencing in other regions of the state. The research also found the farmers of this geography, receptive to more competition entering the market place.

Master of Agribusiness / Department of Agricultural Economics / Allen Featherstone / The thesis assesses the viability of investing in a new grain discharge terminal at the port of Santos, located in the Brazilian southern region, used mostly for wheat but also for malt and malting barley operations. ABC Intl suffered losses of more than USD 1.0 million in 2006 due to demurrage costs at berth 39, used by ABC Intl to export and import grains, sugar and soybean. Congestion tends to increase with the growth of Brazilian soybean and sugar cane production and exports (average 5.0% per year) and 2.0% growth of wheat imports. Demurrage losses are expected to amount to USD 3.0 million by the year 2011 if no investments are made. A brief summary of Brazilian wheat supply and demand for the last five years is presented. Brazil is a net importer between 6.0 and 8.0 million metric tons of wheat per year, to supply the 10.0 million metric ton internal demand. Brazilian wheat imports through the port of Santos average 1.6 million metric tons per year from 2000 to 2006. Sao Paulo is the most populated Brazilian city with more than 18.0 million inhabitants. Its wheat consumption amounts to a third of the total Brazilian consumption and represents around 3.0 million metric tons per year. The thesis analyzes data related to berth 39 activities in the past seven years. A 56-day lineup in 2006 represented more than USD 1.0 million demurrage costs. The thesis forecasts the activity of berth 39 for next five years with and without investment at the new terminal. The new terminal will result in an average of USD 1.8 million savings on demurrage costs over five years. Codesp, Companhia Docas de Sao Paulo, the governmental authority in the port of Santos, is offering a unique opportunity for ABC Intl to invest in a new terminal for grain imports granting the land at no cost. The new terminal would be located at the middle of the port (berth 13/14) close to the railroad and the main avenue in the port of Santos, allowing discharging, storing and loading grain to trucks and wagons. ABC Intl needs to invest USD 5.0 million in the new terminal. It comprises the dismantling and rebuilding of all the grain discharge equipment that will be moved from shed 39 to the new terminal, including two suckers and conveyor belts. The thesis analyzes four different wheat import scenarios for the next five years. In addition, the same scenarios are analyzed for a 10-year period for comparison purposes. The weighted average of the Net Present Value of the four different investment scenarios, considering the probability of each occurring, is a positive USD 78,908 with 13.1% Internal Rate of Return, compared to 9.0 % ABC Intl opportunity cost of capital. It must be considered that the Net Present Value is a conservative figure since it does not take into account the savings on demurrage at berth 39, forecasted to be more than USD 3.0 million in the year 2011 if the company does not invest in the new terminal construction. It is recommended the ABC Intl invest in the new terminal to improve the overall logistics of the port and the quality of the service. This will avoid unnecessary demurrage costs and improving shareholders wealth by investing in a project with positive Net Present Value.

Master of Agribusiness / Department of Agricultural Economics / Allen M. Featherstone / Small scale broiler and layer production constitutes a significant part of the poultry industry in Zambia. However, the contribution of small scale enterprises to broiler production is more pronounced than layers with statistics showing 60 and 30 percent for broilers and layers, respectively. This study was carried out for the purpose of determining the economic profitability of both broiler and layer enterprises and also to evaluate their degree of attractiveness for investment. The thesis used the Net Present Value and Internal Rate of Return methods to determine the economic profitability for both broiler and layer enterprises. The data used in the analyses were obtained direct from the market and additional data were extracted from the Cost of Doing Business Manual 2012, a publication of the Zambian Development Agency. Additionally, the study used a capital investment of US $50,000 for each enterprise, 25 percent opportunity cost of capital and an economic life of five years. The data were used in estimating the enterprise budgets for both broiler and layer enterprises from which income statements were generated. The enterprise budget for broiler production estimated revenue from the sale of live broiler chickens at a wholesale price while the layer enterprise budget estimated its revenue from the sale of eggs and culled hens. The sale prices used were US $5 per broiler chicken, US $3.60 per tray of eggs and US $2 per culled hen as obtaining on the market at the time. In addition, production was estimated at 60,000 broilers and 30,000 trays of eggs from 3,000 layers annually. The cost of constructing brooder houses and purchase of production equipment were the major cost components for the two enterprise budget estimates. The estimates indicated that these two cost components amounted to US $27,090 and US $21,095 for boiler and layer enterprises respectively. The other cost component was production cost and it includes the cost of labor, feed, day old chicks, marketing, vaccines, transportation, electricity, debeakers, heaters, stationery, etc. The cost of feed constituted about 65 percent of total production cost for layer enterprises and about 60 percent for broiler enterprises. The total production cost as a percentage of revenue was estimated at 80 percent and 70 percent for broiler and layer enterprises, respectively. The analyses were completed under three alternative scenarios that included optimistic, expected and pessimistic scenarios. The analyses across all scenarios show that both broiler and layer enterprises are economically viable for investment though the broiler enterprise is more economically profitable than the layer enterprise. They both show positive NPVs and IRRs in excess of the 25 percent opportunity cost of capital used in the analysis. The analysis for broiler enterprise showed a NPV of US $178,242 for the optimistic scenario, US $122,742 for the expected scenario and US $30,550 for the pessimistic scenario. Results obtained from layer enterprise analysis showed NPVs of US $72,388, US $49,260 and US $11,186 for the optimistic, expected and pessimistic scenarios, respectively. Consistent with the decision rules of the NPV and IRR methods, both enterprises were found to be economically viable for investment. On a comparative basis though, the small scale broiler enterprise was found to be more attractive for investment than the small scale layer enterprise as indicated by the results of the NPVs and IRRs. The lucrative nature of the broiler enterprise and easy of management could be used as possible explanation to the current investment trends seen in the Zambian poultry industry.

<p>In much of the recent times the practitioner’s fraternity has been focused towards making investment decisions, based on traditional financial evaluation techniques ranging from Net present Value (NPV), Internal Rate of Return (IRR), Pay Back Period, Profitability Index. Although these techniques have performed satisfactorily and have provided practitioners’ insights about how to value investments and thereby providing them a holistic view of the project and making informed decisions. However, these traditional techniques have focused more on quantifying the risk assessment done at the beginning of the project, by taking into consideration an optimal discount rate based on the firm’s overall cost of capital, and the additional risk associated with the given project. Nevertheless, these traditional Discounted Cash Flow (DCF) techniques, fails to take into account the value of managerial flexibility in business environments associated with a high degree of uncertainty, thereby not encapsulating the value of different options which are embedded within the project, that managers possess and the value of new information during the project lifecycle. In order to value these options, Real Options Valuation technique has been proposed, which predominantly traces its origin from valuing financial options. Though various academicians have supported this technique and the potential benefits it offers to organizations while making investment decisions, it still rests on a number of assumptions, which needs to be validated across different businesses. Therefore, this study focuses on understanding the obstacles involved with the implementation of Real Options Valuation technique, based on the three roadblocks identified by Lander and Pinches (1998).</p><p>A qualitative study using semi-structured interviews was conducted within a given case company X in Sweden. Wherein based on the existing financial evaluation technique that company X uses while making investment decisions are analyzed. Based on the responses provided by the company X officials, the study revealed that company X employs traditional financial evaluation techniques, since they are been widely accepted across a wide range of industries, and also decision makers, and shareholders tend to prefer a probabilistic risk assessment at the beginning of the project, however company X do acknowledge the potential benefits offered by Real Options Valuation technique, but they are not been implemented, because of its ignorance among the key decision makers, coupled with complex mathematical calculations and various assumptions that needs to be incorporated while using Real Options approach for valuing investments, which makes it difficult in the context of given company X for using Real Options approach for valuing investments.</p>

In much of the recent times the practitioner’s fraternity has been focused towards making investment decisions, based on traditional financial evaluation techniques ranging from Net present Value (NPV), Internal Rate of Return (IRR), Pay Back Period, Profitability Index. Although these techniques have performed satisfactorily and have provided practitioners’ insights about how to value investments and thereby providing them a holistic view of the project and making informed decisions. However, these traditional techniques have focused more on quantifying the risk assessment done at the beginning of the project, by taking into consideration an optimal discount rate based on the firm’s overall cost of capital, and the additional risk associated with the given project. Nevertheless, these traditional Discounted Cash Flow (DCF) techniques, fails to take into account the value of managerial flexibility in business environments associated with a high degree of uncertainty, thereby not encapsulating the value of different options which are embedded within the project, that managers possess and the value of new information during the project lifecycle. In order to value these options, Real Options Valuation technique has been proposed, which predominantly traces its origin from valuing financial options. Though various academicians have supported this technique and the potential benefits it offers to organizations while making investment decisions, it still rests on a number of assumptions, which needs to be validated across different businesses. Therefore, this study focuses on understanding the obstacles involved with the implementation of Real Options Valuation technique, based on the three roadblocks identified by Lander and Pinches (1998). A qualitative study using semi-structured interviews was conducted within a given case company X in Sweden. Wherein based on the existing financial evaluation technique that company X uses while making investment decisions are analyzed. Based on the responses provided by the company X officials, the study revealed that company X employs traditional financial evaluation techniques, since they are been widely accepted across a wide range of industries, and also decision makers, and shareholders tend to prefer a probabilistic risk assessment at the beginning of the project, however company X do acknowledge the potential benefits offered by Real Options Valuation technique, but they are not been implemented, because of its ignorance among the key decision makers, coupled with complex mathematical calculations and various assumptions that needs to be incorporated while using Real Options approach for valuing investments, which makes it difficult in the context of given company X for using Real Options approach for valuing investments.

Darbo tikslas – įvertinti Marijampolės miesto centrinės dalies motorizuotos transporto infrastruktūros plėtros galimybes panaudojant transporto srautų modeliavimo programinę įrangą. Siekiant šio tikslo buvo apžvelgta pasaulio miestų susisiekimo sistemos plėtros tendencijos ir problematika, apžvelgtos transporto politikos susisiekimo kokybei gerinti, pasaulyje naudojama eismo modeliavimo įranga, išanalizuota Marijampolės miesto susisiekimo sistema. Pagal augantį miesto automobilizacijos lygį buvo prognozuotas automobilizacijos lygis 2017 metams. Buvo pasiūlyti 8 centrinės mieto dalies plėtros variantai. Šių variantų modeliavimo rezultatai buvo palyginti tarpusavyje, buvo pasirinkti 2 geriausi variantai ir atliktas jų ekonominis vertinimas. / The aim of the work: with the help of traffic modeling program to evaluate the Marijampolė city central part development scenarios. For such aim were analyzed world city’s transport system development trends and problems, transport policies to improve level of service, transport modeling programs and Marijampolė city transport system. Forecast of traffic flows prepared till 2017. During analysis 8 solutions were prepared how to improve level of service in the central part of the Marijampolė. According to traffic flows analysis with the “VISUM” program was made: basic model and 8 more models-solutions. Modeling results were compared and two best solutions were chosen to prepare economic estimations.

Background and problem: Since the new law took place in 1999, it has been illegal towash a car with substances that can damage the environment on a paved street or on a driveway through a garage. This has conveyed to a new industry where more and more self-service car wash facility have opened around the country. Vetlanda Vägkrog AB has since 2012 been planning to install manual self-service car wash facility at the back of their restaurant business. The authors mission was to make an analysis in order to examine whether an investment of carwashes are lucrative enough for Vetlanda Vägkrog AB. Aim: The study's main objective was to analyze the profitability of an investment in a self-service car wash facility at Vetlanda Vägkrog AB, based on given data. The authors sub-aim was to clarify which factors in general that had played the greatest part in the establishment of a self-service car wash facility. Method: The authors have used an abductive approach in order to fulfill the aim of the study. Furthermore, have the authors used semi-structured interviews in order to gather all empirical data. The interviews were performed on the suppliers, municipal employees and the two owners of Vetlanda Vägkrog AB. The collected data is then explained using theory and henceforth meet the purpose. Conclusion: The results of this study shows that the investment of a self-service car wash facility based on Vetlanda Vägkrog AB conditions is economically efficient and profitable. Net present value method, Pay back and internal rate of return (IRR) is the following methods that the authors consistently have used in order to solve this task. An analysis of three different outcomes were made on the variables that might influence the results, for instance volume and periodic payments has been done in order to get an idea of how sensitive the estimate was. / Bakgrund och problem: Efter den nya lagen som trädde fram 1999 förbjuds tvätt avbilen med ämnen som skadar miljön på en asfalterad gata eller garageuppfart. Detta har medfört till en ny bransch då allt flera självtvätthallar har öppnats runt om i landet. Vetlanda Vägkrog AB har sedan 2012 haft planer på att installera manuella tvätthallar på baksidan av restaurangverksamheten. Vårt uppdrag var att göra en analys där vi granskade om en investering av biltvättar var lukrativt för Vetlanda Vägkrog AB. Syfte: Studiens huvudsyfte var att analysera lönsamheten för en investering i en biltvätthall åt Vetlanda Vägkrog AB, utifrån given data. Delsyftet blev att belysa vilka generella faktorer som hade spelat störst roll vid ett upprättande av en självtvätthall. Metod: För att uppfylla syftet med studien har vi utgått från en abduktiv metod. Vihar genom semistrukturerade intervjuer samlat empiri från leverantörer, kommunalanställda och två av delägarna för Vetlanda Vägkrog AB. Det materialet förklaras sedan med hjälp av teori för att slutligen uppfylla syftet. Slutsats: Resultatet av vår undersökning visar att investering av en självtvätthallutifrån Vetlanda Vägkrog AB förutsättningar är ekonomiskt effektiv och lönsamt. För att lösa uppgiften användes följande metoder payback-metoden, nuvärdemetoden och internräntemetoden.En analys med tre olika utfall gjordes på de variabler som kunde tänkas påverka resultatet, exempelvis volym och särutbetalningar har gjorts för att få en uppfattning påhur känslig kalkylen var. Samtliga utfall påvisade positivt resultat.

In final master work “Investment planning and analysis” there was analyzed and systemized conceptual and practical researches of investment analysis of Lithuanian and foreign authors. When analyzing capital investment effectiveness, it is very important to use various methods in complex, not separately. There was performed analysis of investment project of JSC “Lamega”, also there was calculated indicators of investment effectiveness, main factors, which influence final results of a project, were defined, uncertainty and possibilities of the project were evaluated by using Black-Scholes real options evaluation model. Hypothesis, that investment decision depends not on meaning of separate indicator, but their sequence and reciprocity.

Demand for cloud-based applications and remote digital storage is increasing. As such, data center capacities will need to expand to support this shift in computing. Data centers consume substantial amounts of electricity in support of their operations, and larger data centers will mean that more energy is consumed. To reduce electricity bills, data center operators must explore innovative options, and this thesis proposes leveraging solar technology for this purpose. Three different photovoltaic and concentrated photovoltaic costing scenarios, as well as four different Ontario-based electricity tariff scenarios – time-of-use, feed-in tariff, power purchase agreement, and a peak-dependent electricity charge involving the province’s global adjustment fee – will be used to determine if there is a business case for using solar technology at data centers in Ontario to reduce energy costs. Discounted net present value, return on investment, internal rate of return, and levelized cost of electricity will be calculated to determine the economic viability of solar for this application, and both deterministic and stochastic results will be provided. Sensitivity of the four metrics to variability from energy yield, operations and maintenance costs, as well as system prices will also be presented.