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If a company is deciding to invest in a warehouse facility that will generate an internal revenue of return of 11.5% and have a cost
If a company is deciding to invest in a warehouse facility that will generate an internal revenue of return of 11.5% and have a cost of equity of 14.90% and a WACC of 9.09% what are the risk and benefits of this investment? Should they make this investment ?
I did the calculations to come up with the WACC and cost of equity, I nned help in determining if they shoud invest in getting the new warehouse and what are the benefits and risk.
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