CEO, Worthington Industries (WOR) (a high-technology steel company): “We try to find the best technology, stay ahead of the competition, and serve the customer…. We’ll make any investment that will pay back quickly … but if it is something that we really see as a must down the road, payback is not going to be that important.”
Chairman of Amgen Inc. (AMGN) (a biotech company): “You cannot really run the numbers, do
Chief financial officer of Merck & Co., Inc. (MRK) (a pharmaceutical company): “… at the individual product level—the development of a successful new product requires on the order of $230 million in R&D, spread over more than a decade—discounted
Explain the role of capital investment analysis for these companies.

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Chapter 12 Solutions
Managerial Accounting
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