Separate entity and will need to raise new funds

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You are the CFO of EASY Beverages, a sports beverage producing company based in Chicago, IL. The owners are looking to expand its operation to a new international location within the next 10 years. Analysts rate the company’s performance and finances in the top 5% of the industry.

Although the company has a decent supply of liquid assets (cash), it is treating this expansion project as a separate entity and will need to raise new funds. As CFO, what international location would you recommend for the expansion? What funding method would you use to evaluate the investment (NPV, IRR, MIRR or payback)? Would you finance using stocks or bonds or both? Why?

Reference no: EM131813017

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