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Briefly explain the importance of the capital budgeting. Then, explain the pitfalls (if any) of capital...

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Finance

Briefly explain the importance of the capital budgeting. Then,explain the pitfalls (if any) of capital budgeting and describe howeach pitfall influences the decision to accept or reject aninvestment. Support your post with specific references to each typeof capital budgeting: net present value, internal rate of return,and payback.

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Capital Budgeting Capital Budgeting is a process to evaluate and measure the possible outcomes of large investments for example buying a new machine or build a new plant new RD project Companies do capital budgeting to understand the risk and return involved in undertaking a big project Also they are viewed as a responsible company by the investors for performing capital budgeting Also it is done when a company is faced to two or more choices of projects to undertake in the coming    See Answer
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Briefly explain the importance of the capital budgeting. Then,explain the pitfalls (if any) of capital budgeting and describe howeach pitfall influences the decision to accept or reject aninvestment. Support your post with specific references to each typeof capital budgeting: net present value, internal rate of return,and payback.

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