Capital Budgeting

Answer: Introduction: Capital budgeting is an investment appraisal technique which is used by the organizations and the investors to analyze the various investment opportunities. This technique is used for evaluate the long term investment such as replacement of old machineries, buy new machiner...

Answer: Introduction  Budgeting or simply budget is the process of deciding the maximum amount that we plan to spend for a project. Be it a company or household budget is the most common term that is necessary for any project. It is a plan that decides the total sum of money that the company wo...

Questions: • What is the capital budgeting, and what role does it play in long-term investment decisions? • What are the basic capital budgeting models, and which ones are considered the most reliable and why? • What is net present value (NPV), how is it calculated, and what is the basic pr...

Answer: Introduction Budget is a term associated with almost any economic activity that we perform in our day-to-day lives. Its application can be seen in across all forms of routine time. In simpler terms budget can be defined as an activity to monitor, plan and control. The thing to be monitor...