Answer:
Capital budgeting
Explanation:
Capital budgeting is a technique employed by a business firm in making decision as regards accepting or rejecting a proposal for the purchase of fixed asset.
A quantitative review of fixed asset purchase being proposed is carried using this method so that a judgement can be made on rational basis, and the long-term economic and financial profitability of any investment project can be determined and ensured.
The importance of capital budgeting is that it ensures accountability and measurability.
