Most of the capital budgeting methods use
A) accrual accounting numbers.
B) cash flow numbers.
C) net income.
D) accrual accounting revenues.

Question

Quizplus · Accepted Answer

Most capital budgeting methods use cash flow numbers because they focus on the amount of cash that will be generated or invested in a project. Accrual accounting numbers, net income, and accrual accounting revenues do not provide an accurate picture of the actual cash flows associated with a project.

Most of the Capital Budgeting Methods Use