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  • Fundamentals of Capital Budgeting Part 1

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    Ashwani Rathour
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    1. The document discusses capital budgeting, which involves analyzing potential investment opportunities and deciding which projects to undertake. It covers forecasting investment cash flows, allocating funds to various projects, and creating a capital budget. 2. Key aspects of capital budgeting discussed include depreciation, tax consequences of decisions, matching principle, and how earnings are different from cash flows. Replacement of equipment is analyzed in terms of costs and revenues. 3. Capital budgeting aims to maximize value and involves forecasting revenues and costs from investments to evaluate their potential profitability.

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    1. The document discusses capital budgeting, which involves analyzing potential investment opportunities and deciding which projects to undertake. It covers forecasting investment cash flows, allocating funds to various projects, and creating a capital budget. 2. Key aspects of capital budgeting discussed include depreciation, tax consequences of decisions, matching principle, and how earnings are different from cash flows. Replacement of equipment is analyzed in terms of costs and revenues. 3. Capital budgeting aims to maximize value and involves forecasting revenues and costs from investments to evaluate their potential profitability.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
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    20 views3 pages

    Fundamentals of Capital Budgeting Part 1

    Uploaded by

    Ashwani Rathour
    1. The document discusses capital budgeting, which involves analyzing potential investment opportunities and deciding which projects to undertake. It covers forecasting investment cash flows, allocating funds to various projects, and creating a capital budget. 2. Key aspects of capital budgeting discussed include depreciation, tax consequences of decisions, matching principle, and how earnings are different from cash flows. Replacement of equipment is analyzed in terms of costs and revenues. 3. Capital budgeting aims to maximize value and involves forecasting revenues and costs from investments to evaluate their potential profitability.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
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    of 3

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