IDEAS home Printed from https://ideas.repec.org/a/spp/jkmeit/1155.html
   My bibliography  Save this article

Decision Model on Financing a Project Using Knowledge about Risk Areas

Author

Listed:
  • Ioana POPOVICI

    ("Babes-Bolyai" University Cluj-Napoca, Romania)

  • Emil SCARLAT

    (Academy of Economics, Bucharest, Romania)

  • Francesco RIZZO

    (International Consortium for Economic, Scientific, Cultural and Social Aspects, Rhein-Kreis Neuss, Germany)

Abstract

The research presents an alternative to the classical method of measuring financial risk in funding a project. The goal of the model described in the paper implies identifying "risky areas" within the financial balance of the project. The model analysis the financial risk behavior studied along four scenarios by varying only the cost of financing source used according to the specific type of funding. The model introduces the time factor into the analysis of financial risk due to the specific type of financing source used because of the influence on financial balance of project' budget due to the distribution in time of the receipts and costs incurred in the life cycle of a project. Model presented help identifying the "risk areas" within the financials flows of a project offering a warning signal to the decision-maker to select the most suited risk management strategy.

Suggested Citation

  • Ioana POPOVICI & Emil SCARLAT & Francesco RIZZO, 2011. "Decision Model on Financing a Project Using Knowledge about Risk Areas," Journal of Knowledge Management, Economics and Information Technology, ScientificPapers.org, vol. 1(5), pages 1-3, August.
    • Handle: RePEc:spp:jkmeit:1155
    as

    Download full text from publisher

    File URL: http://www.scientificpapers.org/download/45/
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spp:jkmeit:1155. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Adrian Ghencea (email available below). General contact details of provider: http://www.scientificpapers.org .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.