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Drexel Co. is evaluating an investment opportunity to expand its facilities. The opportunity has the following information Cost Increase in Liabilities Anticipated Returr Current ROI

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Drexel Co. is evaluating an investment opportunity to expand its facilities. The opportunity has the following information Cost Increase in Liabilities Anticipated Returr Current ROI (before opportunity) | Target Return on Capital Weighted Average Cost of Capital Tax Rate $500,000 $100,000 $55,000 10.5% 12% 30% Will Drexel most likely accept or reject this opportunity if it's evaluating the opportunity based on: Return on Investment (ROI), Residual Income (RI), and Economic Value Added (EVA)? O ROI: Reject: RI: Accept EVA: Accept O ROI: Accept; Rl: Accept: EVA: Reject O ROI: Accept: RI: Reject: EVA: Reject O ROl: Reject; RI: Accept; EVA: Rejedt

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