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Which of the Following Statements Is Correct

Question 115

Multiple Choice

Which of the following statements is correct?


A) Capital budgeting is the process of identifying, evaluating, and implementing a firm's investment opportunities.
B) Capital budgeting seeks to identify projects that will reduce a firm's competitive advantage and by so doing decrease shareholders' wealth.
C) By its nature, capital budgeting involves short-term projects.
D) Capital budgeting projects usually require small initial investments and may involve acquiring or constructing plant and equipment.
E) none of the above statements are correct

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