Restrictions and budgetary concerns for capital projects
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What are the restrictions and budgetary concerns for capital projects?
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The response explains the restrictions and budgetary concerns for capital projects. The cash flows are determined.
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Capital projects
What are the restrictions and budgetary concerns for capital projects?
Capital budgeting involves taking decisions about the long term assets mix of the organization. Capital budgeting decision is surrounded by risk factors. Risk in capital budgeting may be defined as the variation of actual cash flows from the expected cash flows. (Resources, 2010)
One should estimate following:
1) Cash flows in the beginning of the project in terms of Initial ...
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