Economy, asked by rply2ankur, 9 months ago

How is cost of capital relevant in capital budgeting decisions ?​

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Answered by Royalstar785
0

Explanation:

Importance of Cost of Capital

It helps in evaluating the investment options, by converting the future cash flows of the investment avenues into present value by discounting it. It is helpful in capital budgeting decisions regarding the sources of finance used by the company......

Answered by Anonymous
38

Answer:

✅Verified Answer✅

Importance of Cost of Capital

Importance of Cost of CapitalIt helps in evaluating the investment options, by converting the future cash flows of the investment avenues into present value by discounting it. It is helpful in capital budgeting decisions regarding the sources of finance used by the company.

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