Answer: True
Explanation:
Capital budgeting is the method used in the planning process in the organisations used to evaluate the long term project investing. Security analysis is the method of determining the proper value of debt, equity or hybrid securities of an organisation.
In simple words capital budgeting is an evaluation method and security analysis is the valuation method. Capital budgeting is done fro the data that is usually expected in nature whereas security analysis is done on the data which already exists in market.
Security analysis is done for valuing the securities thus the cash flows are given and we have to use that data for valuation purposes but in capital budgeting we can influence the cash flows as we have an objective to achieve .