Based On Circular Economy Projects, Investment Decision-making Method And Application

The development of economy calls for the support of the resources while the capacity of resources also restricts the development of economy. With the rapid progress of our national economy, the demands for resources are growing and the contradictions between economy development and resources have risen. To solve this problem, the enterprises must develop the circulation economical projects. The correlation decision-making appraisal method is essential during the implemention of circulation ecomical projects. Main contents of this dersertation are as follows.Firstly, this dersertation has introduced the developing process of domestic and foreign circulation economy project decision-making methods; simultaneously it has analyzed the characteristics of China's development of circulation economy projects and the necessity for development of circulation economy project in our country.Secondly, traditional appraisal methods. One is the discount index, which has considered the time value factor, including NPV, PI & IRR. The other is the non-discount index, which has not considered the time value factor, including PP & ARR. However the traditional appraisal methods cannot roundly reflect the ecological environment benefits and social efficiency on the point of strategy.Thirdly, this dersertation has applied the forward theory into project appraisalment. Considering more investment opportunities for certain capital, we should seek for reasonable time to invest, proper opportunities for reinvesting or transfering capital.Fourthly, decision-making methods of circulation economy projects. One of the innovative points in this thesis is the application of total cost theory and the product's life cycle method into the project decision-making. According to the comprehensive calculation on resources mining, resources using, product production, environment protection, using of wastes and returns to the society, the decision-makers could inspect the feasibility of projects and the circulation of projects.Finally, this dersertation has applied the former theories and methods into actual cases, compaired the different decision-making methods and made the decisions for the cases. At the end of the dersertation, the author has inspected the problems existed in the circulation economy project decision-making and proposed the direction of development.