Whenever we make an expenditure that generates a cash flow benefit for more than one year, this is a capital expenditure. Examples include the purchase of new equipment, expansion of production facilities, buying another company, acquiring new technologies, launching a research & development program, etc., etc., etc. Capital expenditures often involve large cash outlays with major implications on the future values of the company.
- The Overall Process
- Calculating the Discounted Cash Flows of Projects
- Three Economic Criteria for Evaluating Capital Projects
- Additional Considerations in Capital Budgeting Analysis
- Course Summary
- Projects and Analysis
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