Learning objectives
The course aims to frame the evaluation of plans and projects in the broader context of economic, estimative and corporate finance doctrines.
An interdisciplinary methodological vision is proposed that aims to make the student autonomous in the evaluation process, developing the critical attitude to the choice of the optimal evaluation approach and application to the real evaluation contexts.
Space is given to advanced theoretical study, also with reference to in-depth texts of consolidated and frontier literature, to stimulate students' interest in innovative courses in evaluation theory.
Prerequisites
no prerequisite
Course unit content
1) Principles of economics relevant in the evaluation of plans and projects;
2) International Valuation Standard (IVS);
3) The financial approach to project evaluation;
4) The cost approach in the evaluation of projects.
Full programme
1) Principles of economics relevant in the evaluation of plans and projects:
- economic system
- State intervention in the economy
- market, demand, supply
- taxation
- elasticity of supply and demand
2) International Valuation Standard (IVS);
- the market approach;
- the income approach;
- the cost approach.
3) The financial approach to project evaluation;
- the analysis of financial flows;
- the concept of capitalization and discounting;
- the financial evaluation indices: NPV, IRR, Pay Back;
- the choice of the discount rate;
- asset side and equity side approach to valuation;
- recent developments of the evaluation indices;
- the ICR and the DSCR;
4) The cost approach in the evaluation of projects;
- the short-term cost;
- the long-term cost: the life cycle cost approach.
Bibliography
1) International Valuation Standard (IVS)
2) Economic Evaluation of plans and projects (draft for students) provided during the course
3) Selected paper provided during the course
Teaching methods
Methodological lessons;
Lessons with application of cases and examples;
Class discussion;
Analysis of literature references
Assessment methods and criteria
The exam will take place orally and with an evaluation of the work done and presented by the students as part of URBAN PLANNING STUDIO FOR THE SUSTAINABLE CITY
Other information
- - -
