Which one of the following is a capital budgeting decision?

A) Determining how much debt should be borrowed from a particular lender.
B) Deciding whether to open a new store.
C) Deciding when to repay a long-term debt.
D) Determining how much inventory to keep on hand.
E) Determining how much money should be kept in the checking account.

Capital Budgeting Decision

The process of deciding which long-term investments should be undertaken by a business.

Debt

A quantity of money that one party lends to another, with the expectation that it will be repaid in the future, often along with interest.

New Store

The establishment of a retail location that hasn't previously existed, indicating business expansion or entry into new markets.