Capital budgeting is based on the idea of identifying incremental cash flows, so overheads arent generally included.

Question:

is based on the idea of identifying incremental cash flows, so overheads aren’t generally included. Does this practice create a problem for a firm which, over a long period of time, takes on a large number of projects that are just barely acceptable under rules?

Capital Budgeting
Capital budgeting is a practice or method of analyzing investment decisions in capital expenditure, which is incurred at a point of time but benefits are yielded in future usually after one year or more, and incurred to obtain or improve the...