Each of the following factors affects the weighted average cost of capital (WACC) equation. Which of the following factors are outside a firm's control? Chock ar that apply. Interest rates in the economy. The performance of index funds, such as the S8P 500 The firms's capital structure The impact of a firm's cost of cepital on managerial decisions Consider the followiris case: International Imports (12) has two divisions, L and H. Division Lis the compary/s low risk division and would have a weighted arverage cost of capital of B% if it was operated as an independent company. Divislon 14 is the compary's high-risk divislon and would have a meighted average cost of capital of 14% if it was operated as an independent company. Because the two divisions are the same sire, the company has a composite weighted average cost of capital of 11%. Division L is coesidering a project with an expected return of 9.5%. Should International freports (12) accept or reject the prolect? Accept the project frolect the prolect On what grounds do you base your accept-reject dedolon? Drition L's project should be acceoted, because its return is less than the risk-based cost of caphal for the divion. Division t'is peroject should be accepted, since is return is greater than the risk based cost of cupltat for the swislon