ELECTRE-Based Optimization of Renewable Energy Investments: Evaluating Environmental, Economic, and Social Sustainability Through Sustainability Accounting

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The shift towards renewable energy demands decision-making tools that unite economic performance with environmental stewardship and social equity. The conventional evaluation methods fail to consider these interconnected factors, which results in substandard investment results. The paper establishes a sustainability accounting system that uses the Elimination and Choice Expressing Reality (ELECTRE) method to optimize investment distribution between solar power, wind power, and bioenergy systems. The evaluation framework uses six performance indicators, which include cost efficiency and return on investment, together with CO2 emissions intensity, job creation, energy output, and financial sustainability indicators, like Net Present Value (NPV) and payback period. The barrier optimization algorithm solved the model in 10 iterations, which took 0.10 s to achieve an optimal objective value of 1.6929. The wind energy source demonstrated superior performance in every evaluation criterion because it achieved the highest concordance scores, lowest discordance levels, best payback period, and strongest NPV. The maximum allocation went to wind at 53.3%, while bioenergy received 31.0%, and solar received 16.7%. The optimized portfolio reached a total sustainability index (SI) of 1.70, which validates the method’s strength. The research shows that using ELECTRE with sustainability accounting creates an exact and open system for renewable energy investment planning. The framework reveals wind as the core alternative yet demonstrates how bioenergy and solar work together to support sustainable development across environmental and economic and social dimensions.

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  • 10.1097/00115514-201601000-00011
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  • Jan 1, 2016
  • Journal of Healthcare Management
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Several surveys have been administered over the last 40 plus years to learn about capital budgeting practices of healthcare organizations. In this report, we analyze and synthesize these surveys in a four-stage framework of the capital budgeting process: identification, development, selections, and post-audit. We examine three issues in particular: (1) efficiency of for-profit hospitals relative to not-for-profit hospitals, (2) capital budgeting practices of the healthcare industry vis-à-vis other industries, and (3) effects of healthcare mergers and acquisitions on capital budgeting decisions. We found indirect evidence that for-profit hospitals exhibited greater efficiency than not-for-profit hospitals in recent years. The acquisition of not-for-profits by for-profits is credited as the primary reason for growth of multihospital systems; these acquisitions may have contributed to the more efficient capital budgeting practices. One unique attribute of healthcare is the dominant role of physicians in almost all aspects of the capital budgeting process. In agreement with some researchers, we conclude that the disproportionate influence of physicians is likely to impede efficient decision making in capital budgeting, especially for nonprofit organizations.

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  • Research Article
  • Cite Count Icon 2
  • 10.5539/eer.v9n2p48
Model of Community Forest Land Management Production and Financial Simulation of Super Teak, Solomon Teak and Sungkai Trees in Samboja Kutai Kartanegara East Kalimantan, Indonesia
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  • Energy and Environment Research
  • Budi Setiawan + 3 more

The objective of the research were to determine the volume increments, to find out the optimum ages and maximum increment, to know which plant effort was more profitable than each types exploitations, to analyze the financial feasibility and to know the farmers' financial needs and the level of interest by sensitivity analysis. This research was conducted in community forest of Sungai Merdeka Village Km. 38 Samboja District, Kutai Kartanegara Sub District of East Kalimantan Province. The research data was taken based on a purpose sampling system in the research plots of each Model I to V covering an area of 0.25 ha. Model I consisted by super teak 15 years 10x2 m spacing combined with king grass with an interest rate of 5% resulted in an estimated 6.5-year Pay Back Period (PP); Net Present Value (NPV) Rp. 186,346,058, -; Net Benefit/Cost (B/C) Ratio 3.99; Internal Rate of Return (IRR) 28%; Equivalent Annual Annuity (EAA) Rp. 12,122,078 and effort scale of 3 ha. Model II consisted by super teak 15 years 10x10 m spacing with an interest rate of 5% produce an estimated 18.5-year PP; Rp. (15,890,541,-) NPV; Net (B/C) Ratio to 0.72; (IRR) to 3%; (EAA) to Rp. (1,033,703,-) and (41) ha effort scale. Model III consisted by Solomon Teak 13 years 10x10 m spacing with an interest rate of 5% produce an estimated 10.4 year (PP); (NPV) to Rp. 97,546,242, -; Net (B/C) Ratio to 2.38; (IRR) to 10%; (EAA) to Rp. 6,345,523,- and 7 ha effort scale. Model IV consisted by sungkai 13 years 2x4 m spacing combined with papaya by an interest rate of 5% produce an estimated 13.1 years (PP) value; (NPV) to Rp. 41,099,472, -; Net (B/C) Ratio to 1.83; (IRR) to 22.5%; (EAA) to Rp. 2,673,580, - and 16 ha effort scale. Model V consisted by Sungkai 13 years with an interest rate of 5% produced an estimated 18.1 year (PP); (NPV) to Rp. -13.141,863, -; Net (B/C) Ratio 0.73; (IRR) to 3.2%; (EAA) to Rp. -854,897, - and (49) ha effort scale. Its concluded that by 5% discount factor, Model I, Model III and Model IV were feasible because they have an IRR value higher than Minimum Acceptable Rate (MAR) 5% and Net B/C Ratio higher than 1. Model II and Model V were not feasible because they have an IRR value lower than MAR 5% and Net B/C Ratio lower than 1. The optimum production of all models was reached at the ages of 25 years. The highest MAI was achieved in Model IV of 7.34 m3 ha-1 year-1 and the total volume was 183.56 m3 ha-1 year-1, while the lowest MAI was achieved in Model II of 6.25 m3 ha-1 year-1 and the total volume was 33.10 m3 ha-1 year-1. Based on the analysis of effort scale resulted that Model I could be the best choice and most feasible than other because it had the lowest effort scale value, while Model V was the least feasible option to be cultivated because it has the highest scale of effort. Model I, Model III and IV shown the NPV positive value to Rp. 186,346,058, -; Rp.97,546,242, - and Rp.41,099,472, -, while Model II and Model IV shown the negative value of Rp.(15,590,541,-) and Rp.(13,141,863,-).

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  • 10.1007/978-981-15-4756-0_24
Technical and Economic Viability Assessment of Different Photovoltaic Grid-Connected Systems in Jordan
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In this work, the technical and economical evaluation of the application of different Photovoltaic (PV) on grid systems was studied based on experimental results and theoretical models. Six types of 20 kWp PV grid-connected systems working at Applied Science Private University, Jordan were involved in study. The Six types of different PV systems studied were: Poly-Crystalline South directed (Poly S), Mono-Crystalline South directed (Mono S), Mono-Crystalline East West directed (Mono EW), Poly-Crystalline East West directed (Poly EW), Thin-Film directed to the south, and a Concentrated PV type with automatic two axes tracking (Con Tracker). For the 20-kWp grid connected systems, the yearly production, the yearly savings, the initial investment costs and the Operating & Maintenance (O&M) costs were estimated, evaluated and compared to get the most beneficial investments by using different economical methods. Con Tracker system presented the most feasible system with higher Net Present Value (NPV) (71733.06 JD), Internal Rate of Return (IRR) (45%), and short Payback Period (PBP) (3 years) than those values of Thin-Film with NPV (42638.15 JD), IRR (37%) and PBP (3 years), Poly S with NPV (44887.23 JD), IRR (34%) and PBP (3 years), Mono S with NPV (48267.89 JD), IRR (33%) and PBP (3 years), Mono EW with NPV (40998.52 JD), IRR (29%) and PBP (4 years), finally Poly EW with NPV (35793.14), IRR (28%) and PBP (4 years).

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This study aims to analyze the economic feasibility of renting transplanters at Brigade Alat Mesin Pertanian Tegineneng. The research was conducted from February to July 2023 at Brigade Alat Mesin Pertanian Tegineneng District, Pesawaran Regency. Feasibility- parameters used include Break-Even Point (BEP), Net Present Value (NPV), Benefit-Cost Ratio (B/C Ratio), Internal Rate of Return (IRR), and Payback Period (PP). Sensitivity analysis was performed to determine the impact of changes in working days on feasibility values.The study results indicate that renting transplanters at Brigade Alat Mesin Pertanian in Tegineneng has a BEP value of 27.96 hectares per year. Based on an NPV of IDR 9,175,366 per year, a B/C Ratio of 1.02, an IRR of 20.79%, and a Payback Period of 4.84 years, the rental of transplanters at Brigade Alat Mesin Pertanian in Tegineneng is economically feasible. Sensitivity analysis of transplanter use shows significant changes with each change in working days. For 40 working days, the BEP is 27.96 hectares per year, NPV is IDR 49,559,304 per year, B/C Ratio is 1.13, IRR is 29.99%, and Payback Period is 3.98 years. For 50 working days, the BEP remains at 27.96 hectares per year, NPV is IDR 89,943,241 per year, B/C Ratio is 1.20, IRR is 34.31%, and Payback Period is 3.59 years. For 60 working days, the BEP is still 27.96 hectares per year, NPV is IDR 130,327,179 per year, B/C Ratio is 1.26, IRR is 36.81%, and Payback Period is 3.37 years. Keywords: BEP, B/C Ratio, IRR, NPV, Payback Period, Rice Transplanter.

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  • JSEP (Journal of Social and Agricultural Economics)
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Tilapia from small-scale farms has a low level of business sustainability due to high energy and financial investment. This study aims to analyze the business feasibility and sustainability status of tilapia cultivation in Cibunar Village, Sumedang Regency, This study uses a survey method for 100% of the existing population (16 respondents). Business feasibility is determined by calculating the investment feasibility analysis (NPV; IRR; PP and B/C Ratio) and the sustainability status analysis is carried out using the RAPFISH-MDS method. The results showed that the tilapia fishery business was feasible to run as a business seen from the NPV (Net Present Value) of Rp36.297.168; IRR of 27.70%; Net B/C Ratio 1,51; and PP (Payback Period) at 3 years 11 months 24 days, BEP/BEP production (units) of 151,65 kg and BEP (Sales) of Rp 4.549.373,48. The value of the sustainability index of tilapia cultivation based on the ecological dimension is 75,37 (very sustainable); economic dimension 55,27 (sufficiently sustainable); institutional dimension 33,49 (less sustainable); social dimension 46,94 (less sustainable) and technological dimension 13,7 (unsustainable). The sustainability status of tilapia aquaculture in Cibunar Village, Sumedang Regency, in a multidimensional manner is 44,85 (less sustainable).

  • Single Report
  • Cite Count Icon 2
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GeoConnections geospatial return on investment case study: PRISM-GIS and PRISM-911
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Mechanical ventilators are essential albeit expensive equipment to support critically ill patients who have gone into respiratory failure. Adequate numbers should always be available to ensure that a hospital provides the optimal care to patients but the number of patients requiring them at any one time is unpredictable. Finding therefore the best balance in providing adequate ventilator numbers while ensuring the financial sustainability of a hospital is important. A quantitative method using Monte Carlo Simulation was used to identify the optimal strategy for acquiring ventilators in a large private tertiary medical center in Metro Manila. The number of ventilators needed to provide ventilator needs 90% of the days per month (27/30) was determined using historical data on ventilator use over a period of four years. Four acquisition strategies were investigated: three ownership strategies (outright purchase, installment, and staggered purchase) and a rental strategy. Return on Investment (ROI), Internal Rate of Return (IRR), Modified Internal Rate of Return (MIRR), Net Present Value (NPV), and Payback period (or Breakeven Point) for each strategy were determined to help recommend the best strategy.A qualitative survey was also conducted among doctors, nurses, and respiratory therapists who were taking care of patients hooked to ventilators to find out their experiences comparing hospital-owned and rental ventilators. It was found that a total of 11 respirators were needed by the hospital to ensure that enough respirators were available for its patients at least 90% of the days in any month based on the previous four-year period. This meant acquiring three more ventilators as the hospital already owned eight. Among the strategies studied, projected over a 10-year period, the installment strategy (50% down payment with 0% interest over a 5-year period) proved to be the most financially advantageous with ROI = 9.36 times, IRR = 97% per year, MIRR = 26% per year, NPV = ₱39,324,297.60 and Payback period = 1.03 years). A more realistic installment strategy with 15% (paid quarterly or annually) and 25% annual interest rates were also explored with their financial parameters quite like but not as good as the 0% interest. The outright purchase of three ventilators came in lower (ROI = 4.53 times, IRR = 55% per year, MIRR = 19% per year, NPV = ₱38,064,297.60 and Payback period = 1.81 years) followed last by staggered purchase with ROI = 3.56 times, IRR = 64% per year, MIRR = 28% per year, NPV = ₱29,905,438.08, and payback period of 2.06 years. As there was no investment needed for the rental strategy, the only financial parameter available for it is the NPV which came out as ₱21,234,057.60.The qualitative part of the study showed that most of the healthcare workers involved in the care of patients attached to the ventilator were aware of the rental ventilators. The rental ventilators were generally described as of lower functionality and can more easily break down. The respondents almost uniformly expressed a preference for the hospital-owned ventilators. This analysis showed that the best ventilator ownership strategy from a purely financial perspective for this hospital is by installment with a 50% down payment and 0% interest. Moderate rates of 15% and 25% interest per year were also good. These were followed by outright purchase and lastly by staggered purchase. The rental strategy gave the lowest cumulative 10-year income compared to any of the ownership strategies, but may still be considered good income because the hospital did not make any investment. However, it seems that most of the healthcare workers involved in taking care of patients on ventilators thought the rental ventilators were of lower quality and preferred the hospital-owned ventilators.

  • Research Article
  • Cite Count Icon 5
  • 10.1002/bbb.2166
Comparison of physicochemical properties and economic gain from three‐stage and two‐stage sequential valorization of mango peels
  • Nov 12, 2020
  • Biofuels, Bioproducts and Biorefining
  • Lindleen R Mugwagwa + 1 more

Three‐stage sequential extraction of anthocyanins, polyphenols, and pectin has the potential to enhance the product's functional properties and the economic value of mango (Mangifera indica L.) peels beyond the two‐stage processes (anthocyanin‐pectin and polyphenol‐pectin). A three‐stage process was developed by incorporating a polyphenol extraction stage in a sequential process where anthocyanins and pectin were co‐extracts. Anthocyanins were extracted first (80% ethanol (EC)/2% acetic acid/25 °C/1 h), generating a residue from which polyphenols were extracted (65–85% EC/20–80 min/70 °C), based on a full factorial statistical experiment. Pectin was subsequently extracted from the second‐stage residues (0.25% ammonium oxalate / oxalic acid / 85 °C / 1 h). The economic benefits (net present value (NPV), payback period (PBP), product minimum selling price (PMSP) of the three‐stage sequential process (anthocyanin, polyphenol, and pectin) and the two‐stage processes (anthocyanin‐pectin and polyphenol‐pectin) were evaluated over a plant life of 25 years. Polyphenols and pectin from the three‐stage process had >65% higher antioxidant capacity and up to 10.4% higher purity, respectively, when compared with those from the two‐stage processes. There is also more economic gain from the three‐stage process (NPV −$4 31 285, PBP −3 years, PMSP < $10/kg) than the anthocyanin‐pectin process (NPV −$3 76 917, PBP −3.22 years, PMSP < $10/kg) and the polyphenol‐pectin process (NPV −$235 599, PBP −4.29 years, PMSP < $30/kg). Thus, three‐stage sequential extraction is an economic process, which enables the recovery of three value‐added food ingredients with improved functional properties from mango peels.© 2020 Society of Chemical Industry and John Wiley & Sons, Ltd

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GREENBOX Technology III - Financial Feasibility for Crop Production in Urban Settings
  • Jan 1, 2023
  • Journal of the ASABE
  • Ankit Kumar Singh + 3 more

Highlights We proposed to use GREENBOX technology for urban crop production in warehouse settings. We assessed the profitability of the application of GREENBOX technology using Benefit Cost Analysis (BCA) to evaluate the Net Present Value (NPV), Internal Rate of Return (IRR), and Payback Period (PP). We conducted sensitivity analyses on NPV, IRR, and PP over different scenarios. GREENBOX was found financially feasible for all the hypothetical scenarios in major cities in the USA. Abstract. Food security pressure, especially in urban areas, continues to rise due to surging demand for food resulting from a growing population and declining resources. It has been critical to improve crop production and make food readily available to consumers without traveling long distances in an economically sustainable manner. The novel GREENBOX technology uses Controlled Environment Agriculture (CEA) principles for leafy green crop production in urban structures. A GREENBOX is an individual thermally insulated chamber with an artificial lighting source and a soilless cultivation system (hydroponics) in an environment that is controlled at the grower's discretion. This study performed a financial feasibility study of GREENBOX technology for urban crop production in various scenarios to evaluate the system's profitability from an individual business's perspective and used market prices of the goods and services paid for or received by a project. The representative GREENBOX unit in the base case scenario had dimensions of a standard shipping pallet (1.0 x 1.2 x 0.9 m, or 40 x 48 x 36 in) and included thermally insulated walls, an LED artificial lighting source, a camera for monitoring growth, a Nutrient Film Technique (NFT) hydroponic growth platform, and an environmental monitoring and control system. A warehouse can host numerous GREENBOX units for mass production. We carried out a benefit-cost analysis by assessing the Net Present Value (NPV), Internal Rate of Return (IRR), and Payback Period (PP). These parameters were evaluated for a base case scenario from data collected or estimated for a representative GREENBOX unit. We also applied the base case scenario to investigate the financial performance of the GREENBOX setup in selected urban areas in the United States; New York City (New York), Miami (Florida), Los Angeles (California), Dallas (Texas), Atlanta (Georgia), Chicago (Illinois), Boston (Massachusetts), and Philadelphia (Pennsylvania). We then carried out a sensitivity analysis on NPV, IRR, and PP by keeping all the parameters in the base case scenario invariant except for one at a time. We obtained a summary equation to understand the variation of the financial parameters with changing lettuce sale price, electricity cost, rental cost, labor cost, and the number of GREENBOX units. A GREENBOX unit would require an initial investment of $398 to assemble and an annual outflow of $157 to cover operating expenses. GREENBOX cultivation was financially viable in the base case scenario and in all the cities studied, with varying degrees of financial performance. The sensitivity analysis revealed that GREENBOX cultivation was financially viable in all scenarios except when skilled labor costs were beyond $19/hr, and there were fewer than 300 GREENBOX units. A statistically significant regression equation was derived in which rising rental costs, labor costs, and electricity prices negatively impacted the NPV, while the rising lettuce sales price and the number of GREENBOX units positively impacted the NPV. GREENBOX farming may serve as a local source of fresh crops for urban customers, with various benefits including improved food security, greater freshness and nutrition of food, the potential to contribute to the local economy by the creation of jobs and revenues from sales, and educational opportunities through extension programs on food nutrition and production. Keywords: Agricultural business, Environmental control, GREENBOX, Lettuce, Urban agriculture.

  • Research Article
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  • 10.11591/ijece.v9i6.pp4610-4616
Practical electrical energy production to solve the shortage in electricity in Palestine and Pay Back period
  • Dec 1, 2019
  • International Journal of Electrical and Computer Engineering (IJECE)
  • Ahmed S A Badawi + 4 more

In this paper power energy had been estimated based on actual wind speed records in a coastal city in Palestine Ashdod. The main aims of this study to determine the feasibility of wind turbine and to estimate payback period. Therefore, to encourage investment in renewable energy in Palestine. The daily average wind speed data had been analyzed and fitted to the Weibull probability distribution function. The parameters of Weibull had been calculated by author using Graphical method the applied example wind turbine is 5kw wind turbine generator this is suitable turbine for small scale based on wind speed records on the coastal plain of Palestine. This study calculated the energy that can produce from wind turbine to estimate the revenue of any possible project in wind energy conversion system based on unit area. Energy has been calculated wind energy using two different method based on Weibull data and measured data. The total amount of energy for 2010 is 10749.8 kw.hr/m2 based on measured wind speed. Payback period for the project in wind energy turbines is around 3 years which make the generation electricity possible for small scale but not commercial. This study will lead to assess the wind energy production in Palestine to encourage investment in renewable energy sectors.

  • 10.22219/jmbumm.vol4.no2.%p
EVALUASI KELAYAKAN BISNIS PADA RUMAH PEMONDOKAN (KOST) MAHASISWA DI SEKITAR UNIVERSITAS MUHAMMADIYAH MALANG
  • Jan 26, 2018
  • Jurnal Manajemen

The purpose of the study is to evaluate the feasibility of students boarding house around University of Muhammadiyah Malang. The analytical tool are Net Present Value, Payback Period, Average Rate of Return, Internal Rate of Return, Profitability Index.The results of the analysis of boarding house owned by Mr. Rofiq show that the Net Present Value is 226.968.193,1 rupiahwhich is more than null ( eligible ) . Value Payback Period is six years one month and seven days which is less than 20 years (feasible ) . Internal Rate of Return is 17,2063 % which is higher than COC , it is declared eligible. T he value of Average Rate of Return is 43 % which is more than 15 % ( feasible). T he value of Profitability Index is 1,44 which is more than one ( feasible ) .The results of the analysis of boarding house owned by Mrs. Atnah show that Net Present Value is 22.370.869,3 rupiah which is more than null, it is declared eligible. Value Payback Period is twelve years two months and twentythree days is less than 20 years ( feasible ) . Internal Rate of Return is 17,8111 % which is higher than COC , it is declared eligible . The value of Average Rate of Return is 38 % which is more than 17 % ( feasible) . T he value of Profitability Index is 1.058 which is more than one ( feasible ) . In other words, the investments wasconducted by both the owner of boarding house was proceed.The results of the analysis of boarding house owned by Mr . Sofi show that Net Present Value is minus 170.035.625,2 rupiah which is not more than null (unfit) . Value Payback Period is 32 years 2 months 12 days is more than 20 years ( not feasible ) . The results of the value of the Internal Rate of Return is 3,7435 % is less than COC which is declared unfit. T he value of Average Rate of Return is 2% which is not expected (less than 15%) declared unfit. The value Profitability Index is 0.32 which is less than one, it is declared unfit. Keywords: Net Present Value , Internal Rate of Return, Payback Period , Average Rate of Return , Profitability Index .

  • Research Article
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Feasibility Analysis of Opening Sempol Ayam Crispy MAW.IH Business In Bandung City Viewing From Market, Technical, and Financial Aspects
  • Dec 14, 2021
  • JKIE (Journal Knowledge Industrial Engineering)
  • Faya Dwitifany + 2 more

Sempol Ayam Crispy Maw.Ih outlet is a business engaged in the culinary field that will be opened in the city of Bandung using a take away service system. In this study, the market aspect was examined by distributing questionnaires to 100 respondents who were residents of the city of Bandung with an age range of 15-64 years. The results of the distribution of this questionnaire show that the percentage of the number of potential markets is 94%, the available market is 90%, and for the target market, Sempol Ayam Crispy Maw.Ih sets a target of 0.4% of the available market. For the technical and financial aspects, secondary data is used. obtained from several sources. The results of the projected feasibility calculation for five years show that the MARR percentage is 13%, the Net Present Value (NPV) is Rp.123.256.159, the Internal Rate of Return (IRR) is 59%, and the Pay Back Period (PBP) is 1 year. 9 months. Due to the NPV > 0, the IRR > MARR, and the PBP is not greater than the financial projection period, the opening of the Sempol Ayam Crispy Maw.Ih outlet is feasible. Sempol Ayam Crispy Maw.Ih outlet is a business engaged in the culinary field that will be opened in the city of Bandung using a take away service system. In this study, the market aspect was examined by distributing questionnaires to 100 respondents who were residents of the city of Bandung with an age range of 15-64 years. The results of the distribution of this questionnaire show that the percentage of the number of potential markets is 94%, the available market is 90%, and for the target market, Sempol Ayam Crispy Maw.Ih sets a target of 0.4% of the available market. For the technical and financial aspects, secondary data is used. obtained from several sources. The results of the projected feasibility calculation for five years show that the MARR percentage is 13%, the Net Present Value (NPV) is Rp.123.256.159, the Internal Rate of Return (IRR) is 59%, and the Pay Back Period (PBP) is 1 year. 9 months. Due to the NPV > 0, the IRR > MARR, and the PBP is not greater than the financial projection period, the opening of the Sempol Ayam Crispy Maw.Ih outlet is feasible.

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