7. The cost of capital is the average cost an organization pays to obtain the resources (i.e., borrowed funds, as well as on funds provided by investors in the company's stock) necessary to make investments. True or False Answer is: DO Which of the following activities falls under the range of responsibility assumed by the capital budgeting committee? A) Analysis of major capital expenditure proposals B) Approval of major capital expenditure proposals C) Review of major capital expenditure proposals D) All of the above Answer is