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The Global Insight

Which of the following are included in capital budget?

Author

James Williams

Updated on February 07, 2026

Capital expenditure components are, Examples: Expenditure on the acquisition of land, building, machinery, equipment, creating assets such as roads and hospitals, repayment of government borrowings, loans, and advances by the central government to state and union territory governments, etc.

What are the components of capital budgeting?

The capital budgeting process consists of five steps:

  • Identify and evaluate potential opportunities. The process begins by exploring available opportunities.
  • Estimate operating and implementation costs.
  • Estimate cash flow or benefit.
  • Assess risk.
  • Implement.

Which of the following is not followed in capital budgeting?

Accrual principle is not followed in capital budgeting.

Which of the following is are included in the capital budget of the government give reasons for your answer?

1. Expenditure on acquisition of assets like roads, buildings, machinery, etc. 2. Loans received from foreign governments.

What is capital budget Upsc?

Capital Budget comprises capital receipts and capital expenditure. Capital receipts refer to borrowings, loans from a public or foreign government, or borrowings from the central bank made by the government of a country.

Which of the following forms the capital expenditure of the central government?

d i The main items of capital budget are receipts and expenditure for capital Financial gains. It also includes loans raised by Government from public Reserve Bank and other parties and from foreign Governments and bodies.

Which is included in the capital budget of the United States?

1. Expenditure on acquisition of assets like roads, buildings, machinery, etc. 2. Loans received from foreign governments 3. Loans and advances granted to the States and Union Territories Select the correct answer using the code given below. Please log in or register to add a comment.

What does it mean to do capital budgeting?

Capital budgeting is the process of making investment decisions in long term assets. It is the process of deciding whether or not to invest in a particular project as all the investment possibilities may not be rewarding. Thus, the manager has to choose a project that gives a rate of return more than the cost financing such a project.

Which is included in the capital budget of India?

Which of the following is/are included in the capital budget of the Government of India? 1. Expenditure on acquisition of assets like roads, buildings, machinery, etc. 2. Loans received from foreign governments 3. Loans and advances granted to the States and Union Territories Select the correct answer using the code given below.

What are the different types of capital budget models?

Businesses can choose from among several capital budget models. These include the payback period, rate of return and net present value. Companies often select one model for this process. The payback period determines the number of months or years it takes to recoup cash outflows.