Capital Budgeting Involves ________

question 106

Multiple Choice

Capital budgeting involves ________.

• A) budgeting for yearly operational expenses
• B) preparing the sales budget for the coming year
• C) deciding among various long-term investments
• D) analyzing various alternatives of financing available to a company

---

Definitions:

Profit Sharing

A company policy of distributing a portion of its profits to its employees as a form of bonus or incentive.

Ownership Interest

A stake or share in the ownership of a business or property, representing a claim on its assets and profits.

Capital Balances

The amounts of capital attributed to each partner's or shareholder's account in a business, showing their equity or ownership stake.

Partnership Income

Partnership Income is the earnings distributed to partners in a partnership based on the agreed-upon proportions, taken from the partnership's total profit.