Chapter 12, Problem 12.1SE

Order the capital budgeting process (Learning Objective 1)

Place the following activities in order from first to last to illustrate the capital budgeting process:

1. a. Make investments
2. b. Use feedback to reassess investments already made
3. c. Identify potential capital investments
4. d. Screen/analyze investments using one or more of the methods discussed
5. e. Budget capital investments
6. f. Project investments’ cash flows
7. g. Perform post-audits