Question: How does the capital budget help mitigate the following potential problems? a. Over-optimism by project sponsors. b. Inconsistent forecasts of macroeconomic variables. c. Capital budgeting

How does the capital budget help mitigate the following potential problems?
a. Over-optimism by project sponsors.
b. Inconsistent forecasts of macroeconomic variables.
c. organized solely as a bottom-up process.

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