Question

How is capital budgeting defined?

a.

Short-term planning for financial outlay

b.

Investment of funds in current assets

c.

Long-term planning for making and financing proposed capital outlay

d.

Appropriation and expenditure for fixed assets

Posted under IC 89 Management Accounting

Answer: (c).Long-term planning for making and financing proposed capital outlay Explanation:Capital budgeting is defined as long-term planning for making and financing proposed capital outlay.

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Q. How is capital budgeting defined?
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