What is the rate of return on invested capital

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1. Why might it be important to use period-specific discount rates when doing capital budgeting?

2. Why is it necessary to consider forecasts of real currency appreciation and depreciation when doing international capital budgeting?

3. What is the rate of return on invested capital? How is it calculated?

4. If you borrow a foreign currency, what interest deduction would you receive on your taxes?

5. If you borrow a foreign currency, are there any capital gains taxes to worry about?

6. Why might a manager accept a high-variance, lowvalue project instead of a low-variance, high-value project?

7. Why would a manager not accept a positive net present value project?

Reference no: EM13897593

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