Question

The stage of the capital budgeting process that distinguishes which types of capital expenditure projects are necessary to accomplish organization objectives is the:

a. identification stage
b. search stage
c. information-acquisition stage
d. selection stage

Answer 1

Answer: The stage of the capital budgeting process that distinguishes which types of capital expenditure projects are necessary to accomplish organization objectives is the identification stage.

Explanation: It is the cover in which different types of capital expenditure projects are distinguished and which are necessary to achieve the objectives of the organization.