What is the objective of capital budgeting?

Answer 1

 what is the objective of capital budjeting

 

Answer 2

types of capital budgeting

Answer 3

describe the objectives of capital budgeting

 

Answer 4

• Define “capital budgeting” and identify the steps involved in the capital budgeting process.
• Explain the procedure used to generate long-term project proposals within the firm.
• Justify why cash, not income, flows are the most relevant to capital budgeting decisions.
• Summarize in a “checklist” the major concerns to keep in mind as one prepares to determine relevant capital budgeting cash flows.
• Define the terms “sunk cost” and “opportunity cost” and explain why sunk costs must be ignored, whereas opportunity costs must be included, in capital budgeting analysis.
• Explain how tax considerations, as well as depreciation for tax purposes, affect capital budgeting cash flows.
• Determine initial, interim, and terminal period “after-tax, incremental, operating cash flows” associated with a capital investment project.

Note : If any other Objectives information is there plz let me know