_____________ refers to the net spending of the ﬁrm on ﬁxed asset purchases.
A) Operating cash ﬂow.
B) Capital spending.
C) Net working capital.
D) Cash ﬂow from assets.
E) Cash ﬂow to creditors.

Question

Quizplus · Accepted Answer

Capital spending refers to the amount of money a company spends on fixed asset purchases, such as property, plant and equipment, and is considered an important measure of a company's investment in growth and future earnings potential.

_____________ Refers to the Net Spending of the ﬁRm on ﬁXed