Rate of Economic and Financial Profitability – Basic Indicator in Industrial Projects Economic Evaluation

Gurau Marian Andrei () and Lucia Melnic
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Gurau Marian Andrei: Polytechnics University of Bucharest, Faculty of Engineering and Technological Systems Management, Romania

Ovidius University Annals, Economic Sciences Series, 2012, vol. XII, issue 1, 52-55

Abstract: The economic and financial evaluation of industrial investment projects in developed countries with market economy is based on the combined use of traditional and modern, rational methods, characterized by the scientific and reliability, tested and validated by long practice. This article present the indicator of economic evaluation of industrial projects, economical and financial rate of profitability and its method of calculation through a case study. The rate of profitability is a significant indicator in assessing the economic and financial performance of a project or a company both internally and in the diagnostic tests requested by external partners. Also, the results of the enterprise activity in all the stages of the economic cycle are reflected in the profit and the rate of profitability.The results of the case study can be put into practice as they have been, or may be interpreted depending on the nature of the project.

Keywords: industrial project; economic evaluation; rate of profitability; management (search for similar items in EconPapers)
JEL-codes: G31 M21 (search for similar items in EconPapers)
Date: 2012
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