How capital budgeting can be applied in mergers

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Reference no: EM13196196

Capital Budgeting is a very important topic in Corporate Financial Management. The process starts with cash flow estimation, apply the correct evaluation method, making recommendations, and finally decision-making. Capital budgeting can be used to evaluate different types of project, from replacing an used equipment to enter into a completely new market, and purchase of another company. Many issues are very important in this decision making process. Please use the following list as suggested topics for the week. I do encourage you to think outside the box and come up your own topics:

1. How reliable the capital budgeting process is?

2. Among the different capital budgeting methods (payback, discounted payback, NPV, IRR, and PI), which one do you think works better?

3- How capital budgeting can be applied in mergers and acquisitions?

4. How capital budgeting can be applied in mergers and acquisitions?

Reference no: EM13196196

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