After a company invests in capital assets,which of the following will it perform in order to compare the actual to the projected net cash inflows?

Question

Quizplus · Accepted Answer

The company will perform a Post-audit in order to compare the actual net cash inflows to the projected net cash inflows. A post-audit is a review of a capital budgeting decision after it has been implemented, and it is used to evaluate whether the actual results met the projected outcomes. A cash flow analysis, pre and post analysis, and post-cash flow may also be useful in evaluating the performance of capital assets, but they are not specifically designed to compare actual to projected net cash inflows.

After a Company Invests in Capital Assets,which of the Following