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A capital investment decision is described as an occurrence faced by companies:
AOnce in a decade
BOnly at start-up
COnly in a crisis
DOn any given day
Answer & Solution
Correct answer: D. On any given day
1. Capital decisions are routine rather than rare.
2. A capital investment decision is not an easy one to make.
3. It is nonetheless a common occurrence.
4. It is faced by companies every day.
_Source: OpenStax Principles of Accounting, Volume 2: Managerial Accounting (CC BY-NC-SA 4.0), Ch 11 'Capital Budgeting Decisions'_
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