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1 You are currently employed as a senior executive in the Finance Department of Mega Air Berhad. Mega Air Berhad is an airline company that
1 You are currently employed as a senior executive in the Finance Department of Mega Air Berhad. Mega Air Berhad is an airline company that offers premium travel experiences and provides connections to various flight points in the Southeast Asia. After being existed for more than a decade, Mega Air Berhad had successfully become the leader in the aviation industry. However, a pandemic emerged recently, and its financial impact has been huge to the company. Passenger demand is reported at its lowest plunging by 95% compared to last year. Additionally, airline passenger revenues have dropped by 60%, and analysis has shown that it could continue to fall. Due to this financial crisis, the company has decided to create a finance restructuring plan. You have been asked by your team leader to distinguish between capital budgeting decision and financing decision by giving examples of each, that relates to the current situation of the company. The team leader also requested that you discuss on the relationship between capital budgeting decision and financing decision
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