INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA

The objectives of this research are: 1) to analyze the way of calculating investment analysis, 2) to analyze the way of calculating the length of cooperation time with the investors of construction of Convention Hall in Sangatta of Kutai Timur Regency by using the cooperation system of Build-Operate...

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Main Authors: Iskandar I., Mulyadi L., Wedyantaji B.
Format: Article
Language:English
Published: iVolga Press 2019-01-01
Series:Russian Journal of Agricultural and Socio-Economic Sciences
Subjects:
Online Access:https://rjoas.com/issue-2019-01/article_38.pdf
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author Iskandar I.
Mulyadi L.
Wedyantaji B.
author_facet Iskandar I.
Mulyadi L.
Wedyantaji B.
author_sort Iskandar I.
collection DOAJ
description The objectives of this research are: 1) to analyze the way of calculating investment analysis, 2) to analyze the way of calculating the length of cooperation time with the investors of construction of Convention Hall in Sangatta of Kutai Timur Regency by using the cooperation system of Build-Operate-Transfer (BOT). This research applied the method of Payback Period (PP), Average Rate of Return (ARR), Discounted Cash Flow (DCF), calculation technique, Internal Rate of Return, and Net Present Value (NPV). Based on the calculation of investment analysis on the construction of Convention Hall in Sangatta of Kutai Timur Regency, the NPV is IDR 28,341,003,415, the calculation of IRR 12.08% > the expected result rate 10%. ARR calculation results obtained the ratio between the rate of net profit from this Convention Hall business has the investment age that is quite promising. In addition, based on the results of calculations, if Net b/c > 1, then the development activities to be carried out are feasible. The result of the calculation of Net b/c is 1.83 so that the construction of Convention Hall is feasible to carry on. Furthermore, after obtaining the ROI value, a company will have certainty and confidence that its business can continue and develop because its profit margin is worth 8.937% per year. The cooperation time with the investors of construction of the Convention Hall in Kutai Timur of East Borneo was carried out using the cooperation system of Build-Operate-Transfer (BOT) based on the calculation of cash flow (P/F, 10%, n).
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spelling doaj.art-f8e79e673d4448d49c74a751a1acebd52023-08-02T01:34:31ZengiVolga PressRussian Journal of Agricultural and Socio-Economic Sciences2226-11842019-01-0185130431110.18551/rjoas.2019-01.38INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIAIskandar I.0Mulyadi L.1Wedyantaji B.2National Institute of Technology, MalangNational Institute of Technology, MalangNational Institute of Technology, MalangThe objectives of this research are: 1) to analyze the way of calculating investment analysis, 2) to analyze the way of calculating the length of cooperation time with the investors of construction of Convention Hall in Sangatta of Kutai Timur Regency by using the cooperation system of Build-Operate-Transfer (BOT). This research applied the method of Payback Period (PP), Average Rate of Return (ARR), Discounted Cash Flow (DCF), calculation technique, Internal Rate of Return, and Net Present Value (NPV). Based on the calculation of investment analysis on the construction of Convention Hall in Sangatta of Kutai Timur Regency, the NPV is IDR 28,341,003,415, the calculation of IRR 12.08% > the expected result rate 10%. ARR calculation results obtained the ratio between the rate of net profit from this Convention Hall business has the investment age that is quite promising. In addition, based on the results of calculations, if Net b/c > 1, then the development activities to be carried out are feasible. The result of the calculation of Net b/c is 1.83 so that the construction of Convention Hall is feasible to carry on. Furthermore, after obtaining the ROI value, a company will have certainty and confidence that its business can continue and develop because its profit margin is worth 8.937% per year. The cooperation time with the investors of construction of the Convention Hall in Kutai Timur of East Borneo was carried out using the cooperation system of Build-Operate-Transfer (BOT) based on the calculation of cash flow (P/F, 10%, n).https://rjoas.com/issue-2019-01/article_38.pdfInvestmentbuild-operate-transferconvention hallpublic service
spellingShingle Iskandar I.
Mulyadi L.
Wedyantaji B.
INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA
Russian Journal of Agricultural and Socio-Economic Sciences
Investment
build-operate-transfer
convention hall
public service
title INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA
title_full INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA
title_fullStr INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA
title_full_unstemmed INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA
title_short INVESTMENT ANALYSIS OF CONVENTION HALL CONSTRUCTION IN SANGATTA OF KUTAI TIMUR REGENCY, INDONESIA
title_sort investment analysis of convention hall construction in sangatta of kutai timur regency indonesia
topic Investment
build-operate-transfer
convention hall
public service
url https://rjoas.com/issue-2019-01/article_38.pdf
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AT mulyadil investmentanalysisofconventionhallconstructioninsangattaofkutaitimurregencyindonesia
AT wedyantajib investmentanalysisofconventionhallconstructioninsangattaofkutaitimurregencyindonesia