FIN 486 Week 3, Discussion Question 1 and 2

Apr 24th, 2015
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FIN 486 Week 3, Discussion Question 1 and 2

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Week 3 DQ 1In your own words, explain capital budgeting. Why is it important to a company's long-term success? Provide an example of poorly performed capital budgeting. How does this affect a company's long-term success?Capital budgeting is the process of determining whether a large purchase, expansion, or investment is actually worth the cost of entering into. Capital budgeting includes detailed evaluation of the entire cost of the venture, from planning to building to actually running, and then balancing those costs with expected and anticipated gains and losses from entering into the new

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