A decision to acquire a new and modern plant to upgrade an old one is a:

Financing Decision

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Investment decision

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Working capital decision

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None of the above

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Solution

The correct option is B
Investment decision

The Investment decision refers to the decision of investing funds in different assets. It can be long term or short term. A Long term Investment decision is also called 'Capital Budgeting Decision' . It involves investing the finance in capital assets like making investment in a new machine to replace an existing one, etc.

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Similar questions

A decision to acquire a new and modern plant to upgrade an old one is a

(a) financing decision

(b) working capital decision

(d) None of the above

A decision to acquire a new and modem plant to upgrade an old one is a

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