Small businesses make less use of DCF capital budgeting techniques than large businesses.This may reflect a lack of knowledge on the part of small firms' managers,but it may also reflect a rational conclusion that the costs of using DCF analysis outweigh the benefits of these methods for very small firms.

Question

Quizplus · Accepted Answer

Small businesses may not use DCF capital budgeting techniques due to a lack of knowledge or the perceived costs outweighing the benefits for very small firms.

Small Businesses Make Less Use of DCF Capital Budgeting Techniques