FIN 370 Week 3 DQ 2

What is meant by capital planning? Why is IRR important to an organization? Why is NPV important to a project? How would you select from multiple projects presented to your organization?

Capital planning means budgeting for future expenditures that support a company's long term plans. These can include research and development, new equipment (or the updating of old equipment), and producing new products (businessdictionary, 2013).
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