Capital (economics) & Capital budgeting - Unionpedia, the concept map

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Difference between Capital (economics) and Capital budgeting

Capital (economics) vs. Capital budgeting

In economics, capital goods or capital are "those durable produced goods that are in turn used as productive inputs for further production" of goods and services. Capital budgeting in corporate finance, corporate planning and accounting is an area of capital management that concerns the planning process used to determine whether an organization's long term capital investments such as new machinery, replacement of machinery, new plants, new products, and research development projects are worth the funding of cash through the firm's capitalization structures (debt, equity or retained earnings).