The process of analyzing alternative long-term investments and deciding which assets to acquire or sell is known as:
A)Planning and control.
B)Capital budgeting.
C)Variance analysis.
D)Master budgeting.
E)Managerial accounting.

Question

Quizplus · Accepted Answer

Capital budgeting involves analyzing potential investments and determining which assets to acquire or sell in order to achieve long-term financial goals. Planning and control, variance analysis, master budgeting, and managerial accounting may be related to the overall financial management process, but they do not specifically address the analysis of long-term investments.

The Process of Analyzing Alternative Long-Term Investments and Deciding Which