What is the purpose of project appraisal? Discuss any two project appraisal techniques with their advantages and disadvantages.

A project appraisal allows a company or an organization to analyze a project and ensure that it provides an effective plan to devise a solution to a business problem. This process helps the company establish the financial viability and the effectiveness of a project.

Project appraisal is an ongoing and consistent endeavor through which a project is assessed, and its results determine whether a project is canceled or approved. Project appraisal serves as the first step in the preplanning phase of a project. It features multiple stages, including concept analysis, concept brief, project organization and project approval. The first stage involves developing the concept of a project, identifying the problem and determining viable solutions.

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