Question

Capital budgeting actually the process of making investment decisions on

Answer 1

Answer:

Capital budgeting is the process of making investment decisions in long term assets. It is the process of deciding whether or not to invest in a particular project as all the investment possibilities may not be rewarding.

Explanation:

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Answer 2

Capital budgeting is the process of making investment decisions on

• Capital budgeting is the process of deciding on fixed asset investments or capital expenditures.
• Capital budgeting is also known as investment, decision-making, capital acquisition planning, capital expenditure planning and analysis, and so on.
• The capital budgeting technique is based on the assumption of cash inflows and outflows.
• Because the future is unpredictable, the expected monetary inflows and outflows may not be accurate.
• As a result, selecting a profitable project may be incorrect.