a$.$ An analyst evaluating the North facility expects that the project will be financed by debt that costs the firm $7\%.$ What recommendation do you think this analyst will make regarding the investment opportunity?

b$.$ Another analyst assigned to study the South facility believes that funding for that project will come from the firm's retained earnings at a cost of $16\%.$ What recommendation do you expect this analyst to make regarding the investment?

c$.$ Explain why the decisions in parts a and b may not be in the best interests of the firm's investors.

d$.$ If the firm maintains a capital structure containing $40\%$ debt and $60\%$ equity, find its weighted average cost using the data in the table.

e$.$ If both analysts had used the weighted average cost calculated in part d$,$ what recommendations would they have made regarding the North and South facilities?

f$.$ Compare and contrast the analyst's initial recommendations with your findings in part e$.$ Which decision method seems more appropriate? Explain why.