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- Explain the advantages and disadvantages of cash budgeting with appropriate literature reviewCapital budgeting can be affected by factors such as exchange rate risk, political risk, transfer pricing, and strategic risk. Select a mid- or large-sized business organization and explain how each of these factors can affect its capital budgeting. Which factor poses the greatest threat to your selected organization and why? What measures can stakeholders take to reduce adverse impacts of these factors?why is the cash budget regarded as a primary tool in short term financial planning? Discuss