A tool that managers use to estimate major expenditures for assets, expansion of facilities, and mergers and acquisitions is called a(n)
A) capital budget.
B) cash budget.
C) revenue forecast.
D) zero budget.
E) equity budget.

Question

Quizplus · Accepted Answer

A capital budget is specifically designed for major expenditures related to long-term assets. It helps managers plan and make decisions for asset purchases, expansions, and mergers and acquisitions.

A Tool That Managers Use to Estimate Major Expenditures for Assets