Ask Question
17 December, 06:33

Which of the following would not involve a capital-budgeting analysis?

A. The acquisition of new equipment.

B. The adoption of a new cost driver for overhead application.

C. The construction of a new distribution facility.

D. All of the above would involve a capital-budgeting analysis.

E. None of the above would involve a capital-budgeting analysis.

+4
Answers (1)
  1. 17 December, 09:48
    0
    The correct answer is B. The adoption of a new cost driver for overhead application.

    Explanation:

    This option is chosen because it is not directly related to organizational capital, or the production of goods or the provision of services. Otherwise it happens with options A and C, which does merit an analysis of the capital budget.

    Option B is only taken into account in the analysis of the sales budget or production costs.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Which of the following would not involve a capital-budgeting analysis? A. The acquisition of new equipment. B. The adoption of a new cost ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers