.. All of the following qualitative considerations may i impct capital investment analysis except a. time value of money b. employee morale c. the impact on product quality d. manufacturing flexibility e. manufacturing productivity rha process by which management allocates available investment funds among competing capital investment proposals is termed a. present value indexing b. capital rationing c. leasing d. transfer pricing e. internal rate of return indexing 50. All of the following statements regarding the budgeting process are true except The production budget is the starting point for preparation of the direct b. Detailed supplemental schedules based on department responsibility are c. The capital expenditures budget summarizes future plans for acquisition of a. labor cost budget. often prepared for major items in the operating expenses budget. fixed assets d. The investing budget of a corporation is composed of the cash budget. e. The budgeting process is employed to effectively communicate planned expectations regarding profits and expenses to the entire organization. Accounting Practice 51. On January 1, 2010, Pierce-Arrow Corporation's Valuation Allowance for Trading Investments account has a debit balance of $22,500. On December 31, 2010, the cost of the trading securities portfolio was $80,000. The fair value of this same trading securities portfolio on the same date Which of the following would Pierce-Arrow Corporation report? as $98,000