2. Company Goals and Objectives
• The next step in the process is to compare the
acquisition request with the overall long-run
objectives of the firm.
• These objectives will be the basis for evaluating
proposals for new equipment and making
selections.
• The objectives of the company are important
because the purchase of any major equipment
will probably affect the capacity and the methods
of the company for many years in the future.
• Company goals may be slightly different across
organizations, but all for profit firms must
eventually maximize profitability.