Capital budgeting decisions affect the

Sales of a firm

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Output of a firm

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Demand of the product

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Profitability of a firm

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Solution

The correct option is C Profitability of a firm
Capital budgeting is the cornerstone for selecting projects to increase shareholder value. It is also the basis for selecting the project that contributes to increased profitability while addressing sustainability issues and opportunities.

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Similar questions

Which of the following affects capital budgeting decision?

'Investment criteria is one of the factors which affects capital budgeting decision'. Comment.

Capital budgeting decisions are important because:

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