13.8. Analysis of Capital Projects
The manager should compare the expected profit to actual profit for each capital project. There should be an evaluation of the difference between budgeted and actual capital expenditures, along with justification.
Some questions to be answered by managers include: Are specialized equipment and machinery required? If capacity is expanded, what impact will it have on warehouse space?
Get Budgeting Basics and Beyond now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
