A capital budgeting problem is a binary integer programming problem that involves choosing which possible projects or activities provide the best investment return.
The procedure a company uses to assess potential big investments or initiatives is called capital budgeting. A proposal will need to go through capital budgeting before being authorized or refused, for illustration, the creation of a new facility or investing in a payment gateway enterprise.
An organization might evaluate the lifetime cash inflows and outflows of a planned project as the prospective project's lifetime cash to see if the capital gains would be adequate to achieve the desired standard. The practice of capital budgeting is sometimes referred to as investment assessment.
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