ABC Corporation has $1 million to invest for 2 years. Their cost of capital is 10%. Which, if any of the following investments should they make? 
A. End of Year 1 - $600,000, End of Year 2 - $549,000
B. None of the offers will meet their required cost of capital.
C. End of Year 1 - $750,000, End of Year 2 - $350,000
D. End of Year 1 - $800,000, End of Year 2 - $298,000
E. End of Year 1 - $700,000, End of Year 2 - $445,000

Answer rating: 100% (QA)

To determine which if any of the given investments ABC Corporation should make we need to calculate ... View the full answer