Question

10-

The step in the capital budgeting process that typically takes the least time is the

postcompletion audit step

evaluation step

monitoring step

implementation step

The step in the capital budgeting process that typically takes the least time is the postcompletion audit step evaluation step monitoring step implementation step

Answer 1

Post completion audit step takes the least time in a capital budgeting process. Post completion audit is more of the controlling step which is initiate to evaluate the final cost and benefits of the project.

Evaluation step: In case of multiple investment opportunities a careful review of each project cost and associated cash flows are done in order to evaluate the post profitable and feasible investment opportunity, hence this step takes lot of time.

Monitoring step: This is an ongoing process which is carried till the life of the project hence it's long process.

Implementation step: In this process the project are executed, funds are allocated and other necessary steps are been completed.