RSUSSH 2020

IN20-102 Cost and Return on Investment of Organic Morning Glory Plans: Case Study of Rinsawat Community, Taweewattana Subdistrict, Bangkok

Presenter: Archanan Waranusupakul
Bangkokthonburi University, Thailand

Abstract

           Study on Costs and Return on Investment of Organic Morning Glory Plan. A case study of Rinsawat Community, Thaweewatthana, Bangkok. The objective of know the costs and return of organic morning glory plan to collecting data by submitting questionnaire for the 10 farmers in Rinsawat Community. The analyze cost and return to analyzing the payback period (PB), net present value (NPV) and internal rate of return (IRR).

                The results showed that return on investment of organic morning glory plans: A case study of  Rinsawat Community, Thaweewatthana Bangkok, generated 72,000 baht in the first year of sales total of 5 years, equal to 410,400 baht and cost profit in the first years 39,593 baht and total 5 years 470,237 baht.

The payback period is 2 months 15 days which is acceptable there is a payback  period not more than 5 years, the net present value is 28,604.66 baht, in value calculated as a plus shows that return on investment is higher than the discount rate. The discount rate used is the loan rate in the market about 8 percents which  is acceptable  and the actual rate of return is equal to 11.46 percent.

Keywords: cost; return; organic morning glory farm

Citation format:

Tanawongkaseam, P., Waranusupakul, A., & Bunyongpatana, S.. (2020). Cost and Return on Investment of Organic Morning Glory Plans: Case Study of Rinsawat Community, Taweewattana Subdistrict, Bangkok. Proceeding in RSU International Research Conference, May 1, 2020. Pathum Thani, Thailand.

QUESTIONS & ANSWERS

สุมามาลย์ ปานคำ (Participant)

Is there control of extraneous variables such as the size of the area planted, amount of fertilizer put in?

Dr.Josua Tarigan (Chairperson)

Thank you for your presentation. May I know how you calculate your NPV? is that using discounted net cash-flow or just using discounted net profit? 

As we understand that NPV suppose to use cash-basis while net profit use accrual-basis, such like depreciation (slide 12).

Archanan Waranusupakul (Presenter)

Thank you for question (คุณสุมามาลย์ ปานคำ)

1.This research does not control external variables.

2. Future research will bring external variables to study further.

Archanan Waranusupakul (Presenter)

Thank you for question (DR.JOSUA TARIGAN)