What would be your advice to management

Reference no: EM13301295

An investment with total costs of $10,000, will generate total revenues of $11,000 for one year. Management thinks that since the investment is profitable, it should be made. Do you agree? What additional information would you want if funds cost 12%, what would be your advice to management? Would your answer be different if the cost of capital is 8%?

Reference no: EM13301295

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