Open AccessAnalysis of economic-financial viability, by the monte carlo method, in service provider of non-destructible tests: case study
Author(s) -
Vanessa Miguel Augusto Souza,
Nilson Brandalise
Publication year - 2020
Publication title -
independent journal of management and production
Language(s) - English
Resource type - Journals
ISSN - 2236-269X
DOI - 10.14807/ijmp.v11i4.1082
Subject(s) - profitability index , monte carlo method , internal rate of return , net present value , investment (military) , service (business) , rate of return , return on investment , computer science , finance , econometrics , operations research , actuarial science , business , statistics , economics , mathematics , microeconomics , marketing , production (economics) , politics , political science , law
This work aims to present the economic-financial feasibility, through the application of the Monte Carlo Method, to assist managers in the decision making regarding the investment of a service contract of a company specialized in Non-Destructive Tests, with the tests of Penetrant Liquid and Ultrasound, to which the company that takes the service establishes the requirements previously. The method was apply, in 5000 iterations, from the established parameters, for the initial investment and demand of the test diaries, which provided data regarding the average for the Net Present Value (NPV), Internal Rate of Return (IRR) and Profitability Index (PI), as well as the possible standard deviations, established by the coefficient of variation. Finally, after analyzing the data, it was check that the Method is useful to assist in the making of investment decisions, being feasible the adherence of the contract studied, through the analyzed data and established criteria.