Question: You are given the following information about a firm

You are given the following information about a firm:


The firm expects to retain $160,000 in earnings this year to invest in investment projects. If the firm’s capital budget is expected to equal $180,000, what required rate of return, or marginal cost of capital, should be used when evaluating investmentsprojects?
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  • CreatedNovember 24, 2014
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