How would you evaluate the capital budgeting method used

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AES Case study essay. Excel sheet and case study pdf will be provided. 2 pages needed. Just number 3 needed to be answered

1. How would you evaluate the capital budgeting method used historically by AES?

2. What is an appropriate required rate of return for AES to use around the world? (Hints: 1. In other words, this question leads you to estimate the WACC ; 2. You may want to use the capital asset pricing model (CAPM) to estimate the cost of equity)

3. Does this make sense as a way to do capital budgeting? (i.e. this question asks you to evaluate your proposed new methodology

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Reference no: EM131218314

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