Task Description: An investment decision should be supported by a spreadsheet capital budgeting model, which should be clear and user-friendly enough, so that a person without specific knowledge of spreadsheets can understand it and manipulate the key input variables.

Students are required to:

- Create an idea of a realistic business investment opportunity. The idea should be described briefly in a text document to give an outside reader an overview and understanding of the factors that are involved in this investment decision. Specific investment opportunities IS investments, software development projects, development of a new product, marketing campaigns, cost cutting projects

- Make assumptions on investments, costs and benefits (revenues and / or cost savings) of the investment opportunity. Assumptions should be based on basic variables (e.g. hourly wage of an employee, material costs, etc.) where feasible. The timeframe for the investment decision should be between 5-10 years and the model has to include at least 15 variables.

-Create three different scenarios of possible future developments (best case, worst case, moderate case), by changing a (small) set of key influencing variables.

-Design a clear model for calculating the NPV of the investment opportunity under each scenario.

-Interpret the results with the aim of supporting the decision-making.