Examlex
Which of the following is NOT a potential disadvantage of participative budgeting?
Discount Rate
The interest rate applied in determining the current valuation of future cash flows via discounted cash flow analysis.
Annual Cash Operating Costs
Annual Cash Operating Costs represent the total amount of money a business spends on operating activities during a year, excluding non-cash expenses.
Salvage Value
The projected value left in an asset after it has completed its useful life.
Net Present Value
A calculation that compares the value of a dollar today to the value of that same dollar in the future, taking inflation and returns into account.
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