"Burger King plans to open a new chain store due to rising demand in Delhi".

Name the type of decision indicated in the given statement.

Investment decision

The correct answer is option 2- Investment decision.

The decision described in the statement—"Burger King plans to open a new chain store due to rising demand in Delhi"is an investment decision.

This involves allocating resources to new projects or assets, such as opening a new store. Burger King's plan to expand into a new market (Delhi) due to rising demand reflects a decision about where to invest capital to achieve growth.
Fixed capital refers to investment in long-term assets. Management of fixed capital involves allocation of firm’s capital to different projects or assets with long-term implications for the business. These decisions are called investment decisions or capital budgeting decisions and affect the growth, profitability and risk of the business in the long run. These long term assets last for more than one year.