Cornerstones of Managerial Accounting Study Set 2
Quiz 14: Capital Investment Decisions
A Postaudit Evaluates the Overall Outcome of the Investment and Proposes
A postaudit evaluates the overall outcome of the investment and proposes corrective action if needed.
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In general, it is best if postaudits are done by company management, since they understand the actual operating conditions.
A disadvantage of postaudits is that they are inexpensive to perform.
A postaudit is an analysis of a capital project before it is implemented.
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