Chapter 11. Examining a Business Case: Investment
Business case analysis is one of the most important activities a finance department can undertake in support of a company’s decision-making process. A business case can take any of a variety of forms, depending on the question that has been asked and the decision that needs support.
For example, a very basic sort of question concerning the use of capital is “Should we lease a copy machine or buy one?” Although it might seem trivial, the answer to the question depends partly on an analysis of the cost effects of purchasing versus leasing. This is because the tax implications of a capital expenditure differ from those ...
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