Care must be taken involving capital investment decisions, since normally a long-term commitment of funds is involved and operations could be affected for many years. True False

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12-04-2022
Business

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Care must be taken involving capital investment decisions, since normally a long-term commitment of funds is involved and operations could be affected for many years. True False

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Tundexi Tundexi · Answer 1 · 2022-04-19T12:57:37+02:00

It is a true statement that extreme care need to be exercise while making decision involving capital investment.

What are capital investment?

These are investment that entails a long-term commitment of funds for business operations.

These is an investment that allows a company to further its long-term business goals and objectives.

In conclusion, an extreme care is needed while deciding on capital investment because a wrong decision will affect the firm operation in the long run.