Corporate Finance Assignment Example | Topics and Well Written Essays - 750 words

Corporate Finance - Assignment Example According to the analysis made, the LCC project proves more viable considering its profitability index, which improves on the meaning of the net present value and the payback period. Under this project, the company waits for less than two years for the machine to start gathering revenue while the HCC machine takes up to three years. Considering possibilities of risk, the HCC machine takes even longer yet the LCC machine still maintains the payback period frame. It is recommendable for the company to invest in the LCC project machine. Based on the Net Present Value, Internal Rate of Return, Profitability Index and the Pay Back Period of the two projects considered separately, the project that utilizes the LCC machine is more appropriate. The criterion above aim at evaluating the aspects that relate to time value for money (Steve, Jenkins and Sawyers, 2008). Considering the fact that it has a more positive NPV and it has a shorter Pay Back Period makes it a more worth project compared to the one that uses the HCC. The difference in life spans of the project makes machine HCC look more appropriate but the fact that the machine is so expensive and yet the impact it has on the revenue is meager makes it an expensive machine for the company to aim for. Considering that, inflation is part of the value for money makes the machine attractive since the more the company uses it the more it earns back. Recommendation best for the company in relation to the table is for them to buy the LCC machine. The LCC machine has the company recover its money back in less than two years while the HCC gives the company 3 years for it to recover their money back. Once the life span of the LCC machine is used up, the salvage value is still attractive enough to help the company purchase another machine and proceed with the project. Considering aspects of interest and the loan used

Business Essay Example | Topics and Well Written Essays - 2000 words - 5

Business - Essay Example Scholars also mention that Emotional Intelligence (EI) has strong influence on the performance of employees (EP). The basis for such a statement is the assumption that emotional intelligence can enhance individual, team and organizational effectiveness. The aim of this paper is to critically examine the relationship between emotional intelligence and employee performance. In particular, this paper aims at defining why emotional intelligence is important for employee performance and how the two concepts are related. First of all this essay will attempt to provide a reader with a basic understanding of what emotional intelligence and employee performance are. Secondly, the paper will utilize existing scholarship research in order to identify the relationship between emotional intelligence and employee performance. Thirdly, analysis and evaluation of the relation between emotional intelligence and employee performance will be conducted in order to determine whether emotional intelligenc e is important for employee performance or not. Finally, the presented work will provide conclusions outlining the relationship between emotional intelligence and employee performance, as well as limitations of the given research. ... It is an ability to recognize and understand own emotional responses of self and other people accurately (Cherniss and Adler 2000, 13). The statement of Allameh et al. (2011, 349) also supports this definition saying that emotional intelligence is not a simple quality of a personality; instead, it is a combination of capabilities, which includes comprehension, judgment and perceiving of emotions – own emotions and emotions of other people. Mcshane, Olekalns and Travaglione (2010, 130) have identified four dimensions of emotional intelligence. They are self awareness, self management, social awareness and relationship management. This classification goes in line with the findings of Boyatzis, Goleman and Rhee (1999, 3). These researches have determined that â€Å"emotional intelligence includes two dimensions, internal and external. The self awareness, self image, independence feeling, self realization capacity and decisiveness regard as internal elements. The external element s are inter-individual relationship, compassion and feeling of responsibility.† Finally, many scholars and researchers argue that emotional intelligence have positive influence on employee’s job satisfaction, ability to deal with stress, and work attitudes (Mustafa and Amjad 2011, 241; Allameh et al. 2011, 348). 2.2 Employee Performance (EP) Wu (2011, 22) described employee performance as the amount of effort that employees input into their jobs. The definition of Schermerhorn, Hunt and Osborn (2005, 122) is quite similar – it states that employee performance includes two elements: quantity and quality of final results brought by employee’s or team’s effort achievement. Moreover, Befort and Hattrup (2003, 17) present another perspective at the