• Journal of Korean Society for Quality Management
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• v.17 no.1
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• pp.82-88
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• 1989

This paper has provided a systematic technique, the evaluation of the distribution with the NPV and the derivation of the IRR in the investment alternatives, for the cost estimating analysts, The proposals of investment alternatives are included the venture capital under risk and probabilities at each events, within the cash inflows are occuring at random timing. Therefore, we have considered the followings ; 1) the first cash outflow is deterministic, 2) the cash inflows are random variables with known distributions, 3) the lengths of the time intervals between the cash inflows are independently distributed and independent of the cash inflows. In this paper, the first two moments of the distribution, the Laplace Transforms and the convolutions are computed for both independent cash inflows and mutually exclusive alternatives as in the case of quite correlated cash inflows.

• Journal of Korean Society of Transportation
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• v.28 no.2
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• pp.135-150
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• 2010

This paper focuses on finding out which covenants are different among the concession agreements of Korean BTO projects and how these influenced IRR(Internal Rate of Return). That is, to figure out the political and economical determinants of IRR by analyzing the concession agreements which are the basic contract of implementing projects. As IRR is an index of profitability, so spread is an indicator of risk to collect debts. That's the reason why the analysis of spread is included. For the empirical analysis, the data of concession agreements for 75 projects and financial models are used. These 75 concession agreements are contracted from 1995 to 2008. The dependent variables are after tax nominal IRR and the spread of long term interest rates of 75 BTO projects. The independent variables are project's proceeding factors, the feasibility variables, the variables related to financial character and the variables related to covenants or the government's policy. The analysis shows that IRR has been influenced by the equity level of financial investors, the national government managed projects, the projects with minimum revenue guarantee (MRG), etc. And the equity level of financial investors, the national government managed projects and the implementation of supplementary project have an effect on spread also.

• Korean Chemical Engineering Research
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• v.47 no.1
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• pp.127-132
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• 2009

This report examines the economic feasibility of a commercial 50,000 barrel per day direct coal liquefaction(DCL) facility to produce commercial-grade diesel and naphtha liquids from medium-sulfur bituminous coal. The scope of the study includes capital and operating cost estimates, sensitivity analysis and a comparative financial analysis. Based on plant capacity of 50,000BPD, employing Illinois #6 bituminous coal as feed coal the total capital cost appeared $3,994,858,000. Also, the internal rate of return of DCL appeared 6.60% on the base condition. In this case, coal price and sale price of products were the most influence factors. And DCL's payback period demanded a long time(12.3 years), because of high coal price at the present time. According to sensitivity analyses, the important factors on DCL processes were product sale price, feed coal price and the capital cost in order.

• Journal of Korean Society of Forest Science
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• v.87 no.4
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• pp.519-527
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• 1998

An economic study of vegetation control to increase production of Songyi (Korean name far pine mushroom, matsutake, Tracholoma matsutake (S. Ito & Imai) Sing.) in red pine (Panes densiflora) stands in Korea was undertaken. In Korea, Songyi grows only in red pine stands. Harvest of this mushroom provides a significant income source to rural people in Korea yielding exports of US$20 million to US$80 million per year. However, hypogeous Songyi colonies and the mushroom production are declining, partly because shade tolerant species are succeeding the shade intolerant red pine. Past research says that it is possible to deep Songyi production increasing by controlling under-story vegetation. But few people are wilting to invest in the necessary control. Our analysis found that the economics of vegetation control appear to be quite favorable, showing an internal rate of return (IRR) of 20.7 percent in 15 years. However, positive returns do not occur for at least eight years and even then, the returns may not appear to the landowner to be a result of vegetation control efforts only because the mushroom production has been greatly variable depending on weather conditions. In a sensitivity analysis, it was found that the number of circular mushroom colonies was critically important for the cash flow. Results of this analysis are also sensitive to assumptions about annual growth length(0.16m radial growth=1.0m/circular length growth) of Songyi colony. However, the primary goal of vegetation control should be to keep the young colonies growing. Further research in the behavior of hypogeous Songyi colonies after vegetation control would help to improve our confidence in the results.

• Journal of Korean Society of Forest Science
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• v.101 no.3
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• pp.426-433
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• 2012

This study was carried out for preliminary feasibility review to consult forest farmer, to make policy and to search improvement for Ligularia fischeri forest farm. The survey for eight Ligularia fischeri forest farmer in Inje-gun was conducted. And the case study was conducted with computing labor input, gross margin, net margin in each planting stages, which is contented each cultivating stage from creating to harvesting. B/C ratio, Net Present Value and Internal Rate of Return were used for profitability analysis. The results applied 3% of discount rate showed IRR 48.6%, B/C ratio 1.5 and NPV 41 million KRW, which means high profitability. Forest farming is early step in Korean forestry so that standard methods of cultivation for that haven't established yet, and differences among farmers in productivity are being. Establishing organized methods of cultivation in each stages and being political supports are essential for income generation to forest households, supply of safe food and rest place for urbanity.

• The Journal of Fisheries Business Administration
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• v.28 no.2
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• pp.39-66
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• 1997

The objective of this study is to suggest the improvement method of the profitability in our marine fish culture business. So I investigated the actual condition for aquaculture farms in South Sea coast by the question and actual survey. 1 recognized the following facts; 1) The marine floating netcage system are a great portion in two province - Kyeongnam and Cheunnam, 2) The rockfish are reared absolutely much more than the olive flounder, 3) The polyculture by various species are more carried out than the monoculture of the olive flounder or rockfish, etc. I analyzed the profitability in olive flounder monoculture, rockfish monoculture, olive flounder and rockfish polyculture, and rockfish polyculture taking turns year by year respectively. At a result I comfirmed that the net income to net sales was the highest in the olive flounder monoculture bacouse the olive flounder,s sale price was higher than rockfish price. But internal rate of return(IRR) and net present value(NPV) were high in the olive flounder and rockfish polyculture or the rockfish taking turns polyculture. The reasons were alttributed to their high utility of a netcage and to reduction of a capital cost. So, I suggest 1) to feed the bigger product in short term, 2) to reduction of a feed and seed cost, 3) to increase a survival rate of fish and 4) to enlarge production by highly utilizing a netcage. And I recognized that a aquaculture manager should make constantly an effort to gain more profit by rearing more good products and by reducing a production cost.

• Korean Journal of Agricultural Science
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• v.44 no.3
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• pp.451-461
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• 2017

Korean agriculture has recently focused on the 6th dimension of industrialization, which includes the functions of healing and care. The green care and healing business is one of the most representative models, satisfying modern consumers' needs for care or healing in rural agricultural environments. Many studies have shown physical and social benefits from green care and healing, but studies regarding economic performance are rarely found. The present study aimed to analyze the economic feasibility of different green care and healing farm complexes proposed in recent domestic research, with various possible combinations of business scenarios. The results show that most of the scenarios are economically feasible as B/C (benefit-cost ratio) and IRR (internal rate of return) are 1.19 and 8.53%, respectively, under scenario 1. This study also performed a break-even analysis for providing more flexible decision-making information. Overall, scenario 1 from green care and healing site and scenario 4 from green care and healing cluster are found to be superior to the other scenarios in terms of B/C and IRR. The scenarios in this study reflect the domestic farms or complexes which have similar functions of care or healing. Therefore, the results of this study provide information on practical policies and business implications in making decisions on the specific size and operational patterns when adopting green care and healing complexes by central or local governments and private sectors in the future.

• Korean Journal of Fisheries and Aquatic Sciences
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• v.55 no.5
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• pp.681-687
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• 2022

The government has implemented a policy to promote the use of extruded pellets in sustainable aquaculture by protecting fishery resources and managing the ocean environment. A survey on the production status and the cost of targeting olive flounder Paralichthys olivaceus culture farms in Jeju Island using extruded pellets was conducted. The survey results were used to examine the profitability and economic feasibility of the test farms, as well as the degree of increase in profitability and economic feasibility of the fish farms receiving government subsidies for employing extruded pellets. The economic feasibility was predicted through a sensitivity analysis of prices and production, which are the variable factors when of using the extruded pellets. Using the economic feasibility analysis, the average NPV (Net Present Value) and IRR (Internal Rate of Return) of sample farms were found to be KRW 5.8 billion and 8.9%, respectively. The result of the economic feasibility analysis of the government subsidy showed a maximum average of about 2.3 times higher NPV and a 3.8% increase in IRR in cases where government subsidies were received.

• Korean Chemical Engineering Research
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• v.54 no.4
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• pp.501-509
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• 2016

The economic feasibility of a commercial indirect liquefaction process with the co-gasification process of petroleum coke which has been recognized as hazardous waste because of high sulfur content and bituminous coal and sub-bituminous coal mixtures was assessed. The 2,000 ton/day scale indirect liquefaction process including co-gasification, clean up, Fischer-Tropsch conversion and so on was assumed and used to analyze economical efficiencies with various conditions. Financial data from previous studies were modified and used and economical sensitivities with various mixture ratios were evaluated in this study. As a result, economic values of petroleum coke were superior than those of coals because of increasing sulfur sale. Also, mixtures with petroleum coke and bituminous coal was more favorable that those with petroleum coke and sub-bituminous coal due to lower moisture content. In case of sub-bituminous coal, the mixture ratio with petroleum coke had to be over 40wt% for the IRR of mixture to surpass 10%.

• The Journal of Fisheries Business Administration
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• v.40 no.3
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• pp.189-205
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• 2009

This study is aimed to analyze the economic feasibility comparison of the extruded pellets and moist pellets on the Oliver flounder culture farms in Jeju Island. In order to do this, we selected 2 farms (M and S farms) in Jeju Island as a sample. In the study, various analyses including productivity analysis, cost structure analysis, profitability and economic feasibility analysis by feed type were conducted for two sample farms of Oliver flounder culture. The results of economic analysis by feed type on the Oliver flounder culture can be summarized as follows; First, there were not significant differences in productivity by feed type. Second, results of the profitability analysis on farm M by feed type showed the profitability was estimated to be 15.52% and 9.83% in EP and MP, respectively. In addition, the profitability of farm S was estimated to be 28.37% and 33.72% in EP and MP, respectively. Third, results of the economic analysis on farm M by feed type indicated that an internal rate of return(IRR) was 8% and 7% and a benefit-cost ratio was shown to be 1.64 and 1.11 in EP and MP, respectively. Furthermore, the economic analysis of farm M by feed type showed that an IRR was 19% and 24% and a benefit-cost ratio was calculated to be 1.4 and 1.51 in EP and MP, respectively. In summary, it is especially emphasized that economic valuation is not related to feed types (EP and MP). Finally, in order to improve the economic feasibility, it should be more focused on the efficient business management of the Oliver flounder aquaculture.