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1. Let's start with defining capital budgeting and decision making. What is capital budgeting? What are the differences between screening decisions
1. Let's start with defining capital budgeting and decision making. What is capital budgeting? What are the differences between screening decisions and preference decisions? Do you ever have occasion to make capital budgeting decisions in your personal life?
2.The most difficult part in capital budgeting is determining the cash inflows, since they are estimates of some future expectation. The cash outflows are fairly straightforward most of the time, even though cash outflows are fairly known. Could this perhaps be to increase their amount to cover any incidentals that we might not have thought of? Could we do the same for cash inflows? Would this be an acceptable practice?
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Running Head: CAPITAL BUDGETING 1 Capital Budgeting:Name:Institution: CAPITAL BUDGETING 2 Define capital budgetingCapital budgeting also referred to as investment appraisal is the process...