_____ refers to the process of deciding among various investment opportunities to create a specific spending plan.
A) Factoring receivables
B) Cash budgeting
C) Inventory valuation
D) Capital budgeting

Question

Quizplus · Accepted Answer

Capital budgeting refers to the process of evaluating and selecting investment opportunities that will create a specific spending plan for a company's long-term projects and investments. It involves analyzing potential future cash flows, assessing risks and uncertainties, and comparing the investment options to determine which ones will provide the highest return on investment. Factoring receivables, cash budgeting, and inventory valuation are all important financial management tools, but they do not specifically involve evaluating investment opportunities for long-term spending plans.

_____ Refers to the Process of Deciding Among Various Investment