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    Accounting - Capital Budgeting

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    A principle 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 values of cash flows from investments
    d. is concerned with long term net income forecasts

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    Solution Preview

    c. focuses on the present values of cash flows from investments

    -- Capital budgets ...

    Solution Summary

    This solution provides the correct choice to the operational budgeting and capital budgeting question listed, along with an explanation.

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