3rd Asia Pacific International Conference on Industrial Engineering and Operations Management

Investment Feasibility Analysis Addition of Painting Machine CV. Creative 71 considering Taxable income and Price Changes

0 Paper Citations
Track: Undergraduate Student Paper Competition

The tight competition in the industrial world has spurred companies to be fast and responsive in producing quality products. This article is a development and refinement of Asyifa & Sutopo's (2017) article in analyzing the feasibility of investing in a painting machine to solve the bottleneck problem at CV. Creative 71. The previous analysis was evaluated and recalculated using more comprehensive and accurate data. The choice of the depreciation method based on a combination of the straight-line method and the DL method can result in a significant depreciation amount being charged at the beginning of the investment. While the tax used is 1% of gross income by the provisions of Government Regulation of the Republic of Indonesia No 23 years 2018. This article considers the rupiah exchange rate changes and aspects of the relationship between each key parameter in the proposed investment. The results obtained are NPV of Rp.312,897,652, IRR value of 21.951%, PP value for 0.048 years, and PI value of 66.152%. And B/C ratio of 4,004. From a financial point of view, it shows the investment in adding a CV. Creative 71 painting machine can be considered feasible because the calculated values have met the proposed indicator limits. 



Depreciation and tax, feasibility analysis, price changes, sensitivity analysis, DL-Method


Published in: 3rd Asia Pacific International Conference on Industrial Engineering and Operations Management, Johor Bahru, Malaysia

Publisher: IEOM Society International
Date of Conference: September 13-15, 2022

ISBN: 978-1-7923-9162-0
ISSN/E-ISSN: 2169-8767