1. The following information pertains to a segment of the Doggie Company. Invested capital is defined as total assets. The weighted average cost of capital is 10%. The ROI of the segment before the project is 20%. The ROI of the segment after the project is 18%. The manager is evaluated based on the segment's economic profit. A project earning a ROI of 12% should be ________.
accepted
rejected
compared to the company's ROI
compared to the company's residual income
2. The major factor(s) affecting the cost, or interest rate, on a bond is (are) its
maturity.
size of the offering.
issuer risk.
basic cost of money.
all of these.