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kondor19780726 [428]
3 years ago
15

Capital budgeting decisions are risky because the outcome is uncertain, large amounts are usually involved, the investment invol

ves a long-term commitment, and the decision could be difficult or impossible to reverse.
True / False.
Business
1 answer:
VARVARA [1.3K]3 years ago
6 0

Answer:

True.

Explanation:

Capital budgeting is the process whereby a business carries out an evaluation of potential major projects or investments. Examples of these investments and projects may include construction of a new plant or a big investment in an external venture.

A capital budget is risky because it is a plan for investing in long-term assets such as buildings and machinery, therefore, risk is inevitable.

The various risks include:

  • Investment of large amounts of cash.
  • Cash flows not being paid in time as agreed.
  • The risk of the investee company collapsing.
  • The management sinking the invested funds in risky projects.
  • Decisions could be difficult or impossible to reverse.
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3 years ago
As observed by robert e. kelley, _____ is an essential quality of effective followers.
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As observed by robert e. kelley, Substitutes for leadershipis an essential quality of effective followers.

<h3>What is leadershipis ?</h3>

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8 0
1 year ago
In a liquidation, a.gains or losses are distributed according to the partnership agreement. b.assets may be sold at amounts that
Sergeeva-Olga [200]

Answer:

D

Explanation:

Liquidation is when the business closes down or dissolves which means the business will not continue any further. Firstly all the assets are sold at their market value which differs from the actual cost or the book value and all the liablities are paid for (or compensated for). After paying all the due balances and receiving all receivables the gain or loss is divided amongst the partners according to their partnership agreement which states the profit/loss sharing ratio. in case of no agreement, the profit/loss is shared equally.

8 0
3 years ago
In the past, ___________________ was an important advertising strategy used in movies. Now it is also used with video games. It
Marysya12 [62]

Answer:

venture capital

Explanation:

A venture capitalist is a person or company that provides start-up funding in return for a share in the company's ownership.

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Extremely low-incidence studies, such as trying to survey the automobile buyer characteristics of astronauts are usually not fea
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Answer:

The correct answer is D

Explanation:

Feasibility analysis is the analysis which is used in order to determine or state the viability of the project like ensure the project is legal and economically justifiable and technically feasible.

In short, it states that the project is worth or not the investment. So, when the studies indicate the low incidence, then the firm is concerned regarding the feasibility of the project, that it would probably determine or state whether or not the questions could be answered.

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3 years ago
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