Suppose an investment project costs $100,000 to start in period 0, and we know of the dividends
Fantastic news! We've Found the answer you've been seeking!
Question:
DETERMINE the investment project be a good idea? Why?
Will the investment project be a good idea? Why?
Suppose we want to know the change in real interest rates on our aggregate level of investment.
After the increase in real interest rates, show aggregate investments increase or decrease?
Using net present value of investment projects, show why they increase or decrease?
After the decrease in real interest rates, how to determine aggregate investments increase or decrease? Using net present value of investment projects, how to show if they increase or decrease?
Related Book For
Corporate Finance
ISBN: 978-0077861759
10th edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe
Posted Date: