Investment decision relates to decisions made by businesses with respect to the amount of funds to be deployed in new investment opportunities.
From time to time businesses are confronted with new opportunities which must be carefully scrutinized before funds are committed to the cultivation of new ideas.
Simply, selecting the type of assets in which funds will be invested by the firm is termed investment decision.
It is important to know that a wise investment decision increases the company’s bottom line whilst a wrong investment decision may put the company into debts.
The Final Investment Decision in the energy Industry context is when the project execution phase begins.