Business Feasibility Analysis of RBT Wedding Decoration Using the Payback Period (PP) and Profitability Index (PI) Methods

Sep 20, 2026

Uploaded by Hazel

The study determines the time required for RBT Wedding Decoration to achieve the payback period (PP) and evaluates the ratio from the Profitability Index (PI) to classify the business as feasible. A non-statistical quantitative approach is applied using financial report data from September 2015 to December 2019. Data are collected via interviews and documentation and analyzed with descriptive quantitative techniques. Results show the payback time is 36.24 months (3 years and 8 days) with PI 1.61, indicating feasibility.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages14

Reading Time35 min

AccessFree to download

Introduction

Business feasibility analysis and investment evaluation

Financial aspects and investment feasibility indicators

Methodology

Research design and data sources

Sampling and data collection

Data analysis approach

Results

Payback period calculation

Profitability index assessment

Conclusion

Jurnal Multidisiplin Sahombu Volume 5, Number 05, 2025, DOI 10. 58471/jms.v5i05 ESSN 2809-8587 (Online) [https://ejournal.seaninstitute.or.id/index.php/JMS/index](https://ejournal.seaninstitute.or.id/index.php/JMS/index) Business Feasibility Analysis of RBT Wedding Decoration Using the Payback Period ( PP) and Profitability Index ( PI) Methods 1Syarifah Shaila, 2 Eka Dyah Setyaningsih, 3Vina Islami 1,2,3 Universitas Bina Sarana Informatika, Jakarta | Article Info | ABSTRACT | | --- | --- | | Keywords:
Business Feasibility Analysis, Payback Period,
Employee Performance | The purpose of this study is to determine how long it takes for RBT Wedding Decoration to reach the payback period (PP) and the ratio of the Profitability Index (PI) it has, so that the business can be categorized as feasible to run. The method used in this study is a nonstatistical quantitative method. The population and sample in this study are all financial report data from RBT Wedding Decoration from September 2015 to December 2019. The sampling technique used is anon-probability sampling technique. Data collection techniques used in this study are interviews and documentation techniques. This study's data analysis technique uses a non-statistical or descriptive quantitative method. The results of this study indicate that the time needed by RBT Wedding Decoration to return investment funds or capital is 36.24 months or 3 years and 8 days, with a Profitability Index ratio of 1. 61, where this ratio indicates that RBT Wedding Decoration is feasible to run. | | This is an open access article | Corresponding Author: | | under the CC BY-NClicense
| Syarifah Shaila
Universitas Bina Sarana Informatika, Jakarta
[adrianunyu8@gmail.com](adrianunyu8@gmail.com) | | INTRODUCTION
Amidst economic development, we as a society must continue to develop to survive the upsand downs of the financial situation in our country. One way we can do this is by building our own business, for example, by simply engaging in buying and selling activities, whether in the form of products or services, or it can also be called building a business. Business itself is another term for business that is often used by some people, especially among young people. The word business itself is one of the words that indicates that the business activity they will or are currently running is expected to generate success and profit.
According to the Big Indonesian Dictionary (KBBI), business can be defined as a commercial enterprise in the world of trade or a particular business sector. (Nurmayanti et al. , 2024) . "Meanwhile, etymologically, business means a state in which a person or group of people is busy doing work that generates profit." (Nurmayanti et al. , 2024)
Business is a word often used to refer to a business activity that is being carried out, business itself is an activity that is directly related to daily activities in society, indirectly other examples of businesses that we can mention are the business of buying and selling food, buying and selling daily necessities or simply the business of buying and selling services, for example, a mobile cleaner or what we usually know as " go clean ". Business itself is a word that is a favorite among business movers, so it sounds ideal and impressive | | Business Feasibility Analysis of RBT Wedding Decoration Using the Payback Period (PP) and Profitability Index (PI) Methods–Syarifah Shaila [et.al](et.al) Jurnal Multidisiplin Sahombu Volume 5, Number 05, 2025, DOI 10. 58471/jms.v5i05 ESSN 2809-8587 (Online) [https://ejournal.seaninstitute.or.id/index.php/JMS/index](https://ejournal.seaninstitute.or.id/index.php/JMS/index) when heard. Businesses also need to be analyzed for their feasibility to be considered by the business owner. Business feasibility analysis plays a vital role for business owners; this role influences the business owner's decisions. "Business feasibility analysis is an important step

FAQs

What is the purpose of evaluating RBT Wedding Decoration using PP and PI?

To determine how quickly RBT Wedding Decoration reaches the payback period and to assess its Profitability Index ratio, so the business can be categorized as feasible to run.

What data and time period are used in this study?

The study uses all financial report data from RBT Wedding Decoration from September 2015 to December 2019.

How long does RBT Wedding Decoration take to recover the investment based on the results?

The payback period is 36.24 months, equivalent to 3 years and 8 days.

What PI ratio indicates and what conclusion is drawn?

A PI ratio of 1.61 indicates that RBT Wedding Decoration is feasible to run.

Sep 20, 2026

Uploaded by Hazel