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Author Question: Capital budgeting is both a decision making and control tool. Which of the following is an example ... (Read 25 times)

jayhills49

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Capital budgeting is both a decision making and control tool. Which of the following is an example of capital budgeting as a control tool?
◦ A company uses capital budgeting techniques to evaluate a group of prospective alternative projects.
◦ A large manufacturer sets up a "capital relief" fund to help supplement sustainability projects that would not meet targeted rates of returns without the capital relief fund assistance.
◦ When considering capital expenditures, a company looks at a minimum of six potential (alternative) projects.
◦ A company's capital project is not meeting the level of profitability expected, will not meet the targeted NPV, and is abandoned.


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Marked as best answer by jayhills49 on Mar 6, 2021

yasmina

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jayhills49

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)


sailorcrescent

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Reply 3 on: Yesterday
:D TYSM

 

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