Capital Budgeting

Capital budgeting involved the allocation of ________ to projects or investment

• assets

• funds

• shareholders

• investors

The following is types of decision in capital budgeting EXCEPT ______

• to expand premise

• to replace equipment

• to buy or lease

• to increase revenue

The first step in capital budgeting process is ______

• evaluating the cash flows

• generating long-term investment proposals

• selecting the project

• estimating the relevant after-tax incremental cash flows

A correct decision in capital budgeting will increase ______

• sales

• long term liability

• expenses

• shareholder's wealth

Capital budgeting is an investment on projects which expected to produce benefits over a period of more than ______ year

• one

• two

• three

• four