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One Way of Incorporating Intangible Benefits into the Capital Budgeting

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One way of incorporating intangible benefits into the capital budgeting decision is to project conservative estimates of the value of the intangible benefits and include them in the NPV calculation.


Definitions:

Standard Form

A way of writing equations in a specific order, often used in mathematics to simplify expressions or solve equations.

Graphing Calculator

An electronic calculator capable of displaying and analyzing the graph of a mathematical function or equation.

System of Equations

A set of two or more equations with the same variables, intended to be solved together.

Graph Equations

The process of plotting points or drawing curves on a coordinate plane to represent solutions of equations.

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