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The Influence Of The Net Profit Over The Investment Decision Making

Author

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  • Mihaela GADOIU

    () (Faculty of Economics and Law, University of Pitesti, Romania)

  • Mariana BANUTA

    () (Faculty of Economics and Law, University of Pitesti, Romania)

Abstract

This article aims at analysing how the investment decision is influenced by the final result of the activity of an entity after paying the profit tax. Starting from the need to make investments in order to ensure the economic efficiency and subsequently the economic growth, we sought to capture both the advantages and the disadvantages of the various versions that must be considered for the selection of the investment project. From the perspective of the presentation of this topic, we have analysed, in addition to the aspects related to the notion of investment, the investment typology, the decision to invest in a certain environment, and a number of economic and financial indicators used in order to make an investment decision.

Suggested Citation

  • Mihaela GADOIU & Mariana BANUTA, 2017. "The Influence Of The Net Profit Over The Investment Decision Making," Scientific Bulletin - Economic Sciences, University of Pitesti, vol. 16(2), pages 66-74.
  • Handle: RePEc:pts:journl:y:2017:i:2:p:66-74
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    References listed on IDEAS

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    More about this item

    Keywords

    Investment; Economic efficiency; Certain environment; Investment decision; Cash-flow; Profit net.;

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates

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