A principal difference between operational budgeting and capital budgeting is the time frame of the budget.Because of this difference, capital budgeting:
A)is an activity that involves only the financial staff.
B)is done on a rolling budget period basis.
C)focuses on the present value of cash flows from investments.
D)is concerned with a long-term net income forecast.

Question

Quizplus · Accepted Answer

Capital budgeting focuses on the present value of cash flows from investments because it involves evaluating long-term investment projects and their potential returns over time.

A Principal Difference Between Operational Budgeting and Capital Budgeting Is