THE ANALYSIS OF CAPITAL BUDGETING TECHNIQUES IMPLEMENTED BY SMALL AND MEDIUM-SIZED ENTERPRISES IN SERBIA
Keywords:
investment policy, economic growth, small and medium-sized enterprises, capital budgeting techniques.
Abstract:
In this paper, the authors examine current practices in investment decision-making on a sample of 30 small and medium-sized enterprises in Serbia. The survey included small and medium-sized enterprises (SMEs) and micro companies. The questionnaire was filled out by the chief financial officers (CFOs) in order to obtain relevant results. Small and medium-sized enterprises play an important role in the economic development of any country, and are the main generator of economic growth in the EU countries. Therefore, this paper aims to examine their role in Serbia, their contribution to reducing unemployment rates and analyse investments of the surveyed enterprises. Furthermore, the authors shall attempt to identify most frequently used capital budgeting techniques in small, micro and medium-sized companies in Serbia when evaluating investment projects. Finally, the precise investment policy of an enterprise represents the key factor for achieving feasible and sustainable investments, approved and chosen by means of various capital budgeting methods. Consequently, their role in everyday business operations of SMEs and micro companies is relevant for the analysis, especially within the conditions of economic turmoil. A well-defined investment policy plays an important role in achieving successful and sustainable capital investments in the long run, which would enable small and medium-sized enterprises to become important generators of economic growth in Serbia.
CITATION:
IEEE format
L. Barjaktarović, R. Pindžo, A. Vjetrov, K. Đulić, “THE ANALYSIS OF CAPITAL BUDGETING TECHNIQUES IMPLEMENTED BY SMALL AND MEDIUM-SIZED ENTERPRISES IN SERBIA,” in FINIZ 2015 - Contemporary Financial Management, Belgrade, Singidunum University, Serbia, 2015, pp. 4-8. doi: 10.15308/finiz-2015-4-8
APA format
Barjaktarović, L., Pindžo, R., Vjetrov, A., Đulić, K. (2015). THE ANALYSIS OF CAPITAL BUDGETING TECHNIQUES IMPLEMENTED BY SMALL AND MEDIUM-SIZED ENTERPRISES IN SERBIA. Paper presented at FINIZ 2015 - Contemporary Financial Management. doi:10.15308/finiz-2015-4-8
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