A. A star quarterback would be an investment for a football team, and the investment would not be made if it were not expected to be a profitable investment. Therefore, capital budgeting techniques would probably be used in evaluating the trade.

B. A major advertising program would involve significant expenditures that would be expected to return a profit. As such, it would be appropriate to evaluate it using capital budgeting techniques.

C. Capital budgeting is used for evaluating long-term capital investment projects. The adoption of a new method of allocating nontraceable costs to product lines would not be evaluated with capital budgeting techniques, because it does not involve any investment or change in cash flows.

D. The acquisition of new aircraft by a cargo company would very likely be evaluated using capital budgeting techniques, because it entails a long-term investment.