Research On The Financial Evaluation System Of Project With EVA Method

With the development of the economy of China, companies are facing more and more companies, and the investment decisions are increasingly important. As part of the project feasibility study, the theories and methods of financial evaluation system are maturing, and several methods and indicators are widely used.The old project financial evaluation indexes include the net present value, internal rate of return, payback period and other indicators. However, these indicators have some shortcomings; they are based on cash flow, while the evaluation after project operating is based on the accounting data, which leads to the inconsistency between financial evaluation before the operating and the financial evaluation after the operating. When the project implement, the management performance of the enterprise is difficult to evaluate. Meanwhile, in recent years, economic value added in China has attracted more and more attention, and it is the most comprehensive assessment indicator by far. For projects, EVA evaluation system reflects the value a project creating for the enterprise in a certain period; also it reflects the state of development of the project.In this thesis, the writer discussed the study of the former learners as well as the three types of the latest studies. The main parts of this thesis includs the basics of economic value added been used in project, the EVA financial evaluation system and its use. The EVA system is introduced into the financial evaluation system of projects according to the different types of projects (individual projects and exclusive projects), the limitation of the amount of investment, the difference of the amount of investments, the difference of the life of the projects. Also, the EVA financial evaluation system of project is used in the QB power turbine flow renovation project. In the end of the thesis, related conclusions and future research and reached.