Only for Professor Ryan

Part I

Discuss the underlying rationale for one of the following tax credit items. Please do not duplicate your peers.

 a. Foreign tax credit

b. Research credit

c. Business energy credit

d. Work opportunity credit

e. Child and dependent care credit

f. Earned income credit

g. American Opportunity credit

h. Adoption credit

Part II

What do you believe to be the connection between cash flow estimations, cost of capital, capital budgeting decision-making? What do you perceive to be the most challenging aspects of making sound capital budgeting decisions? Please elaborate on your position.