Question

The first step in the capital budgeting process is ____.

		Review and analysis
		Identification and prioritization of requests
		Financial analysis
		Decision making

Answer 1

Your required answer is option B i.e. Identification and prioritization of requests

Explanation:

Capital Budgeting process start with Identification and prioritization of requests and ends with review and performance.

Capital Budgeting Process:

1. Identification of Investment Opportunity

2. Gathering of investment porposals

3. Decision Making

4. Capital Budget Preparations

5. Implementation

6. Review of Performance.

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