Which of the four “misleading prescriptions” can be seen as part of a process of decision making ?
A: Corporations should invest in all opportunities where probable returns exceed the cost of capital
B: Better quantification of future uncertainty and risk is the key to more effective resource allocation
C: Planning and capital budgeting are two separate processes --- capital budgeting is a financial activity
D: Top management’s role is to challenge the numbers rather than the underlying thinking.
A: Corporations should invest in all opportunities where probable returns exceed the cost of capital
B: Better quantification of future uncertainty and risk is the key to more effective resource allocation
C: Planning and capital budgeting are two separate processes --- capital budgeting is a financial activity
D: Top management’s role is to challenge the numbers rather than the underlying thinking.
举一反三
- Which one of the following terms is defined as the management of a firm's long-term investments? A: working capital management B: financial allocation C: agency cost analysis D: capital budgeting
- Capital budgeting is the process of managing afirm’s:
- Which TWO of the following are principles underlying the Beyond Budgeting approach? A: Goals should be based on fixed, cascaded targets B: Move towards accountable teams avoiding hierarchical control C: Use traditional budgeting in conjunction with other techniques D: Use adaptive management processes rather than the more rigid annual budget
- Which of the following statements is FALSE? A: Many projects use a resource that the company already owns. B: When evaluating a capital budgeting decision, we generally include interest expense. C: Only include as incremental expenses in your capital budgeting analysis the additional overhead expenses that arise because of the decision to take on the project. D: As a practical matter, to derive the forecasted cash flows of a project, financial managers often begin by forecasting earnings.
- In general, financial management consists of four kinds of management: investment management, capital raising management，working capital management and profit distribution.? 正确|错误