MBA5004 Week 5 Knowledge Check

Question 1

The capital-budgeting process is a set of procedures designed to incorporate as many variables as possible when making short-term planning decisions.

Question 1 options:

True

False

Question 2

Management must use the capital-budgeting process to identify new opportunities available to the company and to correct inefficiencies.

Question 2 options:

True

False

Question 3

There are 7 major steps in the capital-budgeting process.

Question 3 options:

True

False

Question 4

Market failure is a situation in which a competitive market does not allocate enough resources or allocates too many resources for the production of certain goods and services.

Question 4 options:

True

False

Question 5

More government involvement in the marketplace results in fewer decisions being made by the managers of private enterprises.

Question 5 options:

True

False