Capital budgeting (or investment appraisal) is the planning process used to determine whether an organization`s long term investments such as new machinery, replacement machinery, new plants, new products, and research development projects are worth the funding of cash through the firm`s capitalization structure (debt, equity or retained earning.....
The process of identifying, analyzing, and selecting investment projects whose returns (cash flows) are expected to extend beyond one year.
The process of choosing the firm's long-term capital assets. 
A firm's planned capital expenditures.
(ITIL Service Strategy) The present commitment of funds in order to receive a return in the future in the form of additional cash inflows or reduced cash outflows.
Capital budgeting is a method of analyzing and comparing substantial future investments and expenditures to determine which ones are most worthwhile. In other words, it?s a process that company management uses to identify what capital projects will create the biggest return compared with the funds invested in the project. Each project is ranked by ...