How many business segments does the company have

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Reference no: EM133368522

Question: Be very specific to your chosen company. Justification is required for all questions. Bullet points are fine. You need to do research about your chosen company. Company Name: 3M (MMM).
a. Should the company use the market value or book value cost of capital?
b. How many business segments does the company have? If the company has many different business segments, should all business segments apply the same cost of capital to evaluate their projects? If not, provide specific recommendations i.e., how much should the adjustment be?
c. If the company decides to invest in emerging markets such as Vietnam, should the company continue using the cost of capital above? If not, provide specific recommendations i.e., how much should the adjustment be?
d. A small business does not have all data available for estimation. How should a small business estimate its cost of capital? Be specific for each component.

Reference no: EM133368522

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