Why do we prepare a capital budget what is the difference, Financial Management

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Why do we prepare a capital budget what is the difference

1. Why do we prepare a capital budget? What is the difference between cash flows and accounting flows within the capital budget process?

2. Assume that the bond has 10 years remaining of semiannual coupon payments, a $1000 face value, and a 10% coupon rate, but that its yield to maturity is currently 7.5%. Calculate the current price one would pay for this bond given that information.

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Financial Management: Why do we prepare a capital budget what is the difference

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