Managerial Accounting - Capital Investment Decisions
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Some nonfinancial factors included in capital investment decisions are more important now than they were 20-25 years ago.
Give some examples of the types of nonfinancial factors that managers would consider more important in today's capital investment decisions than they were in the past.
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There are several nonfinancial factors in capital investment decisions that are more important now than they were 20-25 years ago. Some examples of the types of nonfinancial factors that managers consider important now include decisions related to the reputation of the firm. If the capital investment decision in a project enhances the reputation of the firm it is preferred over other projects. Another type of nonfinancial factors considered by managers now are the impact of the capital investment decision on the environment. Environment friendly projects are ...
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