The importance of capital budgeting and post-audits Capital budgeting decisions are among the most important decisions that financial managers make. Indicate whether each of the following statements regarding capital budgeting is true or false. Capital projects are either mutually exclusive or independent. Which of the following phrases correctly describe mutually exclusive projects? Check all that apply. Those projects that, if accepted, preclude the acceptance of all other competing projects Project choices that rule out competing project choices Projects that, whether accepted or rejected, do not affect the cash flows of other projects Those projects that are best analyzed without considering the time value of money Those projects that, if rejected, preclude the acceptance of all other competing projects