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vladimir1956 [14]
4 years ago
9

An example of a capital budgeting decision is deciding: Group of answer choices how many shares of stock to issue whether or not

to purchase a new machine for the production line. how to refinance a debt issue that is maturing. how much inventory to keep on hand. how much money should be kept in the checking account.
Business
1 answer:
Alex_Xolod [135]4 years ago
4 0

Answer:

whether or not to purchase a new machine for the production line

Explanation:

Capital budgeting decision is the process by which a company sets aside money for the purchase of capital assets such as new machinery, new plants, research and development, and new product.

Capital budgeting is considered to be both a financial decision and an investment decision. Apart from cost incurred by making a purchase, the company considers the future cash flows the capital asset will generate.

Purchasing a new machine for the production line is a capital budgeting decision

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