It should be noted that money invested is to C. Achieve long-term goals
<h3>What is money?</h3>
It should be noted that money is a means of exchange. It is required for our transactions.
When money is invested, the purpose is simply to achieve long-term goals. This can be an increase in revenue, prepare for future financial needs, etc.
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Answer:
The Company should undertake project A.
Explanation:
The finance of projects is usually done through pooling of funds, that is using <em>various sources</em> of finance. The WACC represents the return required by providers of this finance and also shows the risk of the company.
A company will always<em> accept projects</em> that provide a return higher that their weighted average cost of capital (risk) and r<em>eject any project</em> offering a return below the WACC.
Conclusion :
The Company should undertake project A as this gives a return higher than the WACC of 8.5%.
The correct answer to this open question is the following.
Companies can help to ensure they do their part toward achieving the Sustainable Development Goals set out by UNCTAD by establishing a continuing education program so employees can do what is expected on this issue. Management can start funding campaigns to donate some money to the cause. Ask employees to give volunteering time to noble causes and environmental. The company has to set an example from top management to the operational level to do the right thing always, no matter the circumstances.
We are talking about the sustainability development goals created by the United Nations Conference on Trade and Development (UNCTAD).