What is a capital investment decision and how does it differ from a tactical decision? Give an example of each
A capital investment decision is one that places large amounts of resources at risk for long periods of time. It affects the future development of the firm and is one of the largest decisions that managers make. Decisions to build a new factory, or expand into another country, or upgrade the technical capacity of the company are examples of capital investment decisions. A tactical decision, on the other hand, is one that is shorter term in nature. It doesn't put the future of the firm at risk. Examples of tactical decision include: make-or-buy, special order, and keep-or-drop a line.
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The strength of the public relations field stems from ________
A) its roots in democracy B) its significance in altering democracy C) its significance in building the ranks of management D) its significance in protecting management from encroachment by unqualified leaders
When reviewing the net present profile for a project,
A) the IRR will always be a point on the horizontal axis equal to the required return. B) the higher the discount rate, the higher the IRR. C) the IRR will always be a point on the horizontal axis line where NPV = 0. D) the higher the discount rate, the higher the NPV.