Capital Budgeting: It refers to the long term investment decisions that has been taken by the top management of a company and that are irreversible in nature. These decisions require investment of large amount of cash of the company. To explain: The best possible decision of manager of division Y.

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Chapter 21, Problem 21.11Q

To determine

Capital Budgeting:

It refers to the long term investment decisions that has been taken by the top management of a company and that are irreversible in nature. These decisions require investment of large amount of cash of the company.

To explain: The best possible decision of manager of division Y.

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