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Which of the following inputs would be most beneficial to consider when management is developing the capital budget?
A. Wage trends.
B. Supply/demand for the company’s products.
C. Profit center equipment requests.
D. Current product sales prices and costs.
Answer:C
C is corrent. The requirement is to identify the input that would be most beneficial to consider when developing a capital budget. C is corrent because a capital budget is a budget of future expenditures for buildings and equipment, and equipment requests from profit centers are an important input.