Assessment of the efficiency of investment projects in substantiating the desired economic feasibility

This article analyzes three methods used to evaluate the effectiveness of investment projects - the net present value method, the internal rate of return method, and the discounted payback period method. Each of these methods is popular because it is considered fairly simple to calculate. The article also examines an example of selecting an investment project using the net present value calculation. Investment projects are characterized by a high degree of risk and uncertainty, as well as complexity and a long implementation period, which is why it is necessary to carefully assess their effectiveness and feasibility. This is what determines the relevance of the article, since when selecting investment projects, investors first of all pay attention to the most promising and profitable projects. It is also important for them to understand after what period of time they will be able to return the funds they invested and make a profit. An equally important factor is controllability and the ability to adjust the course of the project. In general, conducting an efficiency assessment is a particularly important process, since it allows you to determine whether the project will be profitable and whether it will be in demand.