Profits are essential for companies, as both external and internal capital providers expect to receive compensation for the opportunity costs associated with investing in a particular company. Therefore, companies face the challenge of selecting only those projects for investment that will also generate returns for the capital employed.

Gabriel Weber examines the risks involved in the selection and evaluation of investments. The author applies the CAPM (Capital Asset Pricing Model) to 42 companies in the wood processing, printing machinery, and paper industries, determining their cost of equity and comparing it with that of other sectors. To validate the research findings, he contrasts the interest rates derived from the CAPM with the results of a survey, aiming to compare the model-based capital costs with the returns targeted by management.