Question
. You are the CEO of Warming-Up Inc. The firm faces the following five investments that are mutually exclusive (i.e., you can only pick one).
. You are the CEO of Warming-Up Inc. The firm faces the following five investments that are mutually exclusive (i.e., you can only pick one). Which one would you pursue?
A. Increase next years net income by $70M, increase long-term debt by $280M, and increase the market value of Warming-Ups equity by $490M.
B. Increase next years net income by $140M, increase long-term debt by $70M, and increase the market value of Warming-Ups equity by $280M.
C. Increase next years net income by $705M, increase long-term debt by $140M, and increase the market value of Warming-Ups equity by $665M.
D. Increase next years net income by $140M, decrease long-term debt by $70M, and increase the market value of Warming-Ups equity by $540M.
E. Increase next years net income by $210M, increase long-term debt by $210M, and increase the market value of Warming-Ups equity by $420M.
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