You have recently joined a company, Felicia & Fred, as a financial analyst. The company is headquartered in New England
and manufactures unique fashion jewelry. It prides itself in the U.S. domestic production of these quality accessories,
which are in high demand among its customers.
In general explain how Fred and Felicia would calculate the cost of capital for the firm, and how it is used within
project analysis? What issues should they be most mindful of to avoid errors in all of the components of their