Factors that influence Capital Investment Decisions
INTRODUCTION:Capital investment decisions are critical. It involves large sums of money. The company must use the different capital investment decision tools in order to forecast whether the company will benefit from investing in buying high value factory equipments. Some of the tools like payback period, cost –benefit analysis, competitors, government regulations are only some of the factors that influence capital investment decisions (Dayananda et al. 2002, 6). The following paragraphs explain in detail the different factors that influence capital investment decisions.BODY:There are many factors that influence capital investment decisions. First,...
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