Week 5: Discussion Board
1. Explain some of the factors that can affect the cost
Week 5: Discussion Board
1. Explain some of the factors that can affect the cost of capital and describe whether or not it is something that a company can control.
2. Why does WACC increase and IRR decrease as the capital budget increases? Are there any steps management can take to reverse these trends?
3. How should a company prioritize all of its capital project opportunities? In responding invoke the various methodologies learned this week and how to use them for ranking projects.
Response to first two questions due by Wed at 11:59pm ET
Response to third question and replies due by Sat at 11:59pm ET
DB POSTING REMINDERS:
You may not use any quoted material even if sources are cited. Please make sure all posts are written entirely in your own words.
When you make your initial post, please fully answer the question and make substantive responses – i.e. at least 600 words that really dive into the topic and show that you’ve read the text and done research to support your opinions.