Economic Feasibility Study Of Raw Water Development For Rusunawa In Park Industrial Area Morowali District
- DOI
- 10.2991/978-2-38476-172-2_14How to use a DOI?
- Keywords
- Feasibility; Finance; NPV; BCR; IRR
- Abstract
The development of industrial estate in Morowali Regency, and the development of Flay over and Rusunawa, are necessary to build facilities and infrastructure for the construction of raw water networks for the needs of the community. This development requires a very large cost, so an investment feasibility study is needed to obtain an overview of the economic feasibility of constructing the building. The research method uses analytical methods, and quantitative approaches, and conducts interviews with relevant agencies. The data obtained are reviewed and analyzed using several assumptions of loan interest rates, and loan times. Calculation of financial analysis using the calculation of Net Present Value (NPV), and Benefit Cost Ratio (BCR). and Internal Rate Ratio (IRR). The results of the study concluded that the construction of facilities and infrastructure for raw water network construction in the Industrial Park area of Morowali Regency is feasible. The result of Net Present Value (NPV) is positive at 10% interest and 12% is calculated as an investment for 12 years. At 10% interest, Benefit Cost Ratio (BCR) 1.535 Internal Rate Ratio (IRR) capital return obtained 23.9%. At a loan interest rate of 12%, the benefit Cost Ratio (BCR) of 1,381, and the Internal Rate Ratio (IRR) of capital returns is 17.5%.
- Copyright
- © 2023 The Author(s)
- Open Access
- Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.
Cite this article
TY - CONF AU - Nirmalawati AU - I W. Sutapa PY - 2023 DA - 2023/12/31 TI - Economic Feasibility Study Of Raw Water Development For Rusunawa In Park Industrial Area Morowali District BT - Proceedings of the 2nd International Interdisciplinary Conference on Environmental Sciences and Sustainable Developments (IICESSD) 2022 Education and Green Economy (IICESSD EGE 2022) PB - Atlantis Press SP - 89 EP - 93 SN - 2352-5398 UR - https://doi.org/10.2991/978-2-38476-172-2_14 DO - 10.2991/978-2-38476-172-2_14 ID - 2023 ER -