Daftar Isi:
  • The purpose of this research is to assess whether or not the addition of production capacity feasible by purchasing new machines in the UMM Bakery. This study only focused on the finance section, using 5 assessment criteria on financial aspects namely net present value (NPV), internal rate of return (IRR), payback period (PP), average rate of return (ARR), and profitability index (PI). Data collection techniques carried out were by interviewing with UMM Bakery managers. The results of this study are calculation the feasibility analysis of adding production capacity at UMM Bakery by using the assessment criteria net present value (NPV) is positive at 35.880.146, internal rate of return (IRR) is 30% greater than the capital cost, payback period (PP) is smaller than the economic age of 3 years, the average rate of return (ARR) of 83%> 15.52%, the profitability index (PI) yields 3,69> 1 which states new investment in the project plans to increase production capacity deserve to be continued.