Financial Assessment
Exhibit 5.9 shows the results of comparing investments, annual costs,
and benefits. It also shows that investment will be recovered in 2006,
the break-even point year. Furthermore, another way to assess the
investment is by calculating the NPV, as shown in Exhibit 5.10.
96
Dynamic Enterprise Architecture
-600
-400
-200
0
200
400
600
2005
2006
2007
Years
Dollars
(thousands)
Annual costs
Annual benefits
Balance
EXHIBIT 5.9
Financial analysis of WWW-TeleBel
(U.S.$ thousands)
Annual Benefits
2005
2006
2007
Lower customer churn
200
240
240
Increased turnover
30
100
150
Total annual benefits
230
340
390
EXHIBIT 5.8
Annual benefits of WWW-TeleBel
(U.S.$ thousands)
c05_wagter.qxd 12/10/04 12:23 PM Page 96
Summary :
96 Dynamic Enterprise Architecture -600 -400 -200 0 200 400 600 2005 2006 2007 Years Dollars (thousands) Annual costs Annual benefits Balance EXHIBIT 5.9 Financial analysis of WWW-TeleBel (U.S.$ thousands) Annual Benefits 2005 2006 2007 Lower customer churn 200 240 240 Increased turnover 30 100 150 Total annual benefits 230 340 390 EXHIBIT 5.8 Annual benefits of WWW-TeleBel (U.S.$ thousands) c05_wagter.qxd 12/10/04 12:23 PM Page 96
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