Financial Feasibility Research On The Project Before The Investment

The financial feasibility study on the enterprise project investment considers the project profitability, which is from the view of the enterprise or project investors. It is not only provided support to the decision-making, but also met the stakeholders' requirements. The project financial evaluation is the necessary work to make the project investment more scientific, and it is very meaningful for the sustainable development of an enterprise and national economy, because it is able to insure that the resource of the enterprise utilized rationally and the ability of competition improved.In this paper, the financial feasibility of the construction project of Aimin Wendu Mine is studied by means of the Incorporate method of qualitative analysis and quantitative evaluation, static analysis and dynamic analysis. The paper study bases on the feasibility of the market and technology, the conditions internal the enterprise, production scale, technical programs, marketing strategy and price management, investment estimation and fund collection, cost estimation, sales volume and tax, and so on. In addition, the basic financial reports of the construction project of Aimin Wendu Mine are made based on the analysis of somefinancial index such as payoff period of investment (static and dynamic), Net Present value, internal rate of return, etc.Finally, the sensitivity analysis and the Break-Even point analysis are used in the uncertainty and the risk analysis of the construction project of Aimin Wendu Mine. The results show that the project is able to make good economic benefit. Therefore, the project is feasible.