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The placement of nonrecurring capital expenses in pro forma cash flow projections has not been standardized. The modern treatment of capital expenditures in investment analysis is to treat capital expenditures ____________.

Respuesta :

Answer:

The correct answer is  below-line.

Explanation:

The capital investment analysis and the capital budget are used by management to plan, evaluate and control long-term investment decisions. Capital investment decisions usually affect operations for some years and require a long-term commitment of funds. Capital investment decisions are usually based on one of these methods:

1- repayment period,

2- average rate of return,

3- net present value, or

4- internal rate of return.

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