The paper shows the development of the after-tax earnings from interest as a function of the proportion of money invested in each type of security and certain other parameters such as the interest yields and the tax rate. This function is then differentiated and the optimum point determined. A...

The objective of this paper is to investigate the decision-making procedure for accepting or rejecting investment or financing alternatives available to the firm. The properties of the decision rules based on discounted present value and internal rate of return are studied for the class of...