Interest rate (percent) 25 20 15- 10 8 5 0 T $5,000 $10,000 $15,000 $20,000 $25,000 above 8 percent. above 10 percent. Expected rate of return Refer to Exhibit 13.2, which shows the expected rate of return on investment undertaken by a firm. Given the market rate of interest shown, the firm should reject any investment with an expected rate of return that is above 15 percent. above 20 percent. below 8 percent. Market rate of interest Investment