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By George E. Aiken

Modern high speed bucket wheel excavators (BWEs) can dig materials which power shovels can't handle without blasting. Yet these machines are not used in any large, open pit ore mines in the United States. American mining has been slow to use the wheel's special capabilities of high production volume at low cost, due perhaps to a traditional familiarity with shovels and draglines and/or the lack of data of BWE operation, design and cost. Of course, shovels and draglines can not be replaced by BWEs in all cases, but under suitable conditions bucket wheels can out-perform other conventional excavators and simultaneously permit significant operating savings. The latter aspect will become increasingly important to American mining men because as more low to medium grade orebodies are found in regions of thick overburden, better and cheaper ways of uncovering them must be developed. Typical of such areas are the thick alluvial fans of the Southwest and the glacial drift areas in northern regions. Much of this material would handle well with a wheel excavator without blasting, although ripping might be necessary in some cases.

Jan 1, 1966

By A. C. Losekamp, R. M. Fincel, J. B. Conway

TANTALUM like several other metals exhibits a great affinity for or reactivity with certain gases. Tested in atmospheres which are not completely pure this metal becomes contaminated by certain impurities (notably nitrogen, oxygen, and hydrogen) with a resultant change in various properties. Well-known are the drastic changes in hardness, ductility, and electrical resistivity. Also previously recorded are the distortions of the lattice1,2 accompanying the increased content of oxygen and nitrogen in tantalum. This pronounced affinity for certain gases along with the significant property variations thereby produced makes it necessary to observe additional experimental precautions in making various property determinations with tantalum. Some recent measurements of the linear thermal-expansion characteristics of tantalum have made this point quite emphatically. Failure to observe the greatest precautions in reducing the contaminating influence has led to some extremely distorted results. Not only does such operation lead to different heating and cooling curves during the thermal-expansion measurements, but upon cooling to room temperature the sample is found to have suffered a permanent (actually semipermanent since the specimen can be returned to its original length by a 3-hr degassing treatment in vacuum at 2300°C) elongation. In addition, subsequent heatings will not follow the initial heating curve unless the expansion measurements are based on the actual specimen length at the beginning of the heating cycle. These thermal-expansion measurements were made by positioning the specimen horizontally at the longitudinal midpoint of a 20-in.-long, 4-in.-diam resistively heated tungsten tube furnace. The specimens were in the form of 20-mil sheet formed into a sharp U-shape about 0.3 in. in width and 0.3 in. in depth. Fiducial marks in the form of 0.010-in. holes drilled at either end of the 2.5-in.-long sheet specimens were viewed by a paired filar micrometer telescope system mounted on an Invar bar on the top of the furnace. Tests were made in helium with temperatures measured by a Pt/Pt-lORh thermocouple to 1000°C; above 1000°C temperature was measured by means of an optical pyrometer sighted into a black-body hole drilled into the specimen-holding fixture in the vicinity of the specimen. Previous tests with black-body holes drilled in a 0.25-in.-diam rod specimen had confirmed the temperature uniformity between specimens and specimen-holding fixture in this furnace. A typical thermal-expansion curve for arc-cast tantalum in helium is shown in Fig. 1 for the case where no attempt is made to remove all the impurities from the cover-gas atmosphere. The initial heating curve appears smooth and has a shape characteristic of all metals. However, it is known that the sample begins absorbing impurities at temperatures above 1000°C which are sufficient to distort the lattice and lead to specimen lengths which are somewhat larger than would be obtained in the absence of contamination. During the cooling cycle the expansion curve is seen to be significantly different from the heating curve. This is due to the impurity content causing a semipermanent (i.e., permanent until the impurities are removed by vacuum degassing) deformation which will not allow the speci-

Jan 1, 1965

By H. Papazian, Robert A. Lad

SINCE it can be shown both theoretically'' : and experimentally that disordered Cu3Au has a greater internal energy than the ordered alloy, it might be expected that its chemical reactivity would be greater. Experiments were initiated' to test this hypothesis. This note will describe some recent results obtained in the study of the rates of corrosion of ordered and disordered polycrystalline Cu3Au by aqueous FeCl., The work of Robertson' has indicated that the attack by such solutions is intergran-ular and highly orientation dependent. It was of interest to see whether the order-disorder effect was great enough to overcome the variations from specimen to specimen which would arise from this type of attack. The polycrystalline alloy specimens (0.020 in. wire, 1¾ in. long) were preannealed in ½ atm H, at 700°C for 2 hr. The subsequent heat treatments to produce order and disorder were performed in M atm He. Disordered specimens were obtained by heating at 450°C for 2 hr and quenching in water. Ordered specimens were produced by heating for 2 hr at 450°, furnace cooling to 380°, and soaking at 380°C for 80 to 90 hr. Room temperature was reached by cooling to 150" at a rate never exceeding 7" per hr, and water quenching from 150°C. The specimens so produced exhibited electrical resistivities characteristic of the two states; of the order of 11.27x10 ohm-cm for the disordered, and 4.28x10 ohm-cm for the ordered specimens. The corrosion rates were studied at 30°C in ferric chloride solutions of several concentrations (?,¼, 1.5, and 1 molar). The specimens were attached to a stirrer during the tests. Tests were interrupted at intervals, and the specimen weight change was determined after washing and drying. Analysis of the solutions showed that the attack was limited to the copper. The higher corrosion rate for the disordered alloy, as illustrated in Fig. l, is typical of the results obtained. The effect of variation in ferric chloride concentrations is indicated in Table I for typical specimens. The variations in the ratio of reactivity for disordered and ordered specimens at the different concentrations are within experimental error, and the best value is estimated to be near 1.4. The experimental variation was due in part to the mode of attack, as mentioned, and in part to the fact that films were formed on the specimens under some conditions. Electron diffraction patterns of the films were very complex and indicated the presence of metallic iron, as did chemical analysis. In an attempt to eliminate the difficulties arising from the mechanism of attack, single crystal specimens were used. A greater reaction rate was again measured for the disordered specimens, but the reproduci-bility was no better than that for the polycrystalline metal. This would indicate that film formation was primarily responsible. It was concluded that the reaction with aqueous ferric chloride served to demonstrate that the reactivity of disordered Cu3Au is greater than that of the ordered alloy. However, the difficulties with film formation did not permit determinations of a precision great enough to warrant extension of the study to partially ordered alloy systems.

Jan 1, 1957

By Jerzy Iskra, Wlodzimierz Sikora

INTRODUCTION The effect of stress concentration in coal seams leads to a sudden release in the form of rock bursts. This effect is controlled along many lines, but the most efficient methods consist in preventing the accumulation of energy in the seam or in the roof. The over- burden weight resulting from mining is the main cause of excessive stresses in a seam. An additional weighting of roof takes place due to formation of abutment loads. The accumulation of energy in the roof takes place where thick sandstone beds occur in overburden strata. An essential problem is to watch, with appropriate measurements, the stress of coal and roof rocks, and to conclude, on this basis, the degree of rock burst hazard. The methods for determining the stresses in a coal seam are quite well developed at present. Let me mention here the seismoacoustic methods, or borehole overcoring measurement methods. On the other hand, an examination of the state of stress in the roof rocks is almost impossible at the actual stage of development of the measuring technique. Hence, the model of stresses in roof was analyzed and determined theoretically. Based on this model, a technology for roof fracturing was developed which aims at destressing rock masses in a planned way. The essentials of the fracturing method consist of a controlled breaking of sandstone roof beds in order to: - prevent the excessive weight on the pillar - prevent a spontaneous breaking of roof beds at a limiting state followed by sudden energy release. High pressure fluid infusion is used to release buildup of stresses. THEORETICAL AND RESEARCH BASES According to the tests carried out by A. Kidybinski by the method of finite elements, isobars of stresses occurring in the roof over the working face are shown in [Fig. 1]. The results indicate: - the highest values of compressive stresses occur in the roof directly over the seam, at a distance of about 5 m ahead of the working face - at a distance of about 22 m above the seam there is a line of transition of compressive stresses into tensile - within the tested roof area, the highest tensile stresses occur at a vertical distance of 35 m, and at a horizontal distance of 20 m from the line of the working face. H. Gil (1) determined the pres- sure initiating the fracture of roof rocks by the formula: [ ] On the basis of results of analysis of isobars, and of the initiation of failure stress formula (1), isobars may be designed for a given roof class. Assuming for sandstones the Poisson ratio equal 0.3, a field of failure stresses presented in [Fig. 2] is obtained. In this figure it can be seen in which areas the effects of sandstone breakage may be obtained with the operation of a determined hydraulic pressure. To use formula (I), the knowledge of Rr is still necessary. This value may be determined in two ways: - taking a sample and testing it in the laboratory, if there is access to roof rocks in the existing openings, - drilling boreholes in the roof from surface and examination of the rock mass by using hydraulic breaking, if there is no access to roof rocks.

Jan 1, 1982

By Roberto Fustos, Gonzalo Nelis, Víctor Sanhueza, René Gómez

Hang-ups are a challenging operational problem in block caving mines. They interrupt ore flow and imply hang-up removal activities, which take time, increase operational costs, and involve safety risks for workers. In block caving, the number of hangup events of mechanical arches that appear in the drawbell could be decreased if the drawbell geometry is adequately designed based on the expected rock fragmentation. Here, we compile and analyze hang-ups reported in several block caving mines to evaluate the impact of drawbell geometry, rock size, and vertical load on hang-up frequency at the mine scale. Results show that the ratios between drawbell length and d80 (dL/d80), between drawbell width and d80 (dW/d80), between drawbell volume and rock volume (VDB/VP), and vertical stress are critical parameters that define hang-up frequency. These findings confirm previous experimental studies, where a decrease in hang-up events is associated with an increase in these ratios. Additionally, these outcomes are used in a support vector machine algorithm to define categories of hang-up frequency. The results of this classification algorithm are presented in diagrams, which can be used to estimate the hang-up frequency in block caving projects.

Oct 15, 2022

By Mario Samamé Boggio

El presente texto describe algunos aspectos de la inversión extranjera en tres períodos: fines del siglo XIX, la primera mitad del siglo XX y segunda mitad del siglo XX. Dentro de lo quince casos analizados se halló que 5 empresas son iguales: Northern, Southem, Santander, Santa Luisa y Madrigal; 4 empresas se han "peruanizado" total o parcialmente: Caylloma, Ticapampa (Alianza), Lampa (Minsur) y Ruaron, 3 empresas se han agotado aparentemente: Santo Domingo, Salinas y Minas Ragra, 1 yacimiento revertió al Estado y fue desarrollado por Minero Perú: Cerro Verde; y 2 empresas fueron expropiadas y estatizadas: Cerro de Pasco Corporation y Marcona. En todos los casos no hubo descubrimiento del yacimiento por el inversionista, quien compró las concesiones y denuncios, con excepción de Marcona que estuvo explorado y desarrollado y fue contratado para su explotación.

Mar 1, 1982

Jan 1, 1950

By Grimstone LR, Leach JHJ

An analytical technique is described to identify areas of structural disturbance to coal and interseam strata in coal measures. It is based on exploration borehole data which records seam intersections and interseam lithologies. Computerised data bases have been developed to allow processing of large quantities of borehole records. The case study discussed is located in a tectonic setting dominated by thrust faulting. It provides a mechanism for the identification of low angle and bedding plane faults. In addition it allows the preparation of plans showing the areal distribution of the thrust sheets in the statigraphic section throughout the mine prospect. The technique requires the identification of normal undisturbed depositional thickness of coal seams and interseams to be determined. This is done for coal by the identification of coal ply distribution over the area. For interseam lithologies it is based on sedimentological modelling of lithology distributions, related back to the original depositional environments. Variations from the expected values are interpreted as structural Deformations.

Jan 1, 1986

By C. A. Bruch, J. F. Duffey

On the basis of metallographic and cooling-rate studies of 15 U-Zr alloys, a new version of the 6 phase region of the U-Zr phase diagram is proposed. IN several published diagrams of U-Zr alloy system:' there is good agreement that at elevated temperatures complete solid solubility exists between y uranium and ß zirconium. Similarly, there is reasonably good agreement concerning the uranium-rich and zirconium-rich ends of the diagram. However, there is no agreement concerning the nature of the diagram at intermediate compositions and at temperatures below about 650°C. The early work of Saller et al.8 hows an intermediate phase, 6. In a later diagram by Saller and Rough' shown in Fig. 1, the d phase field is drawn with dotted lines, indicating doubt that this phase exists. The diagram of Summers-Smith2 does not show the d phase. More recently Holden and Seymour' have shown that in the composition range 40 to 60 wt pet Zr, the high-temperature ? phase, which is body-cen-tered-cubic, transforms to an ordered structure, 8. They found that the order-disorder transformation occurs between 595° and 610°C, and presented a diagram based on the study of four different alloy compositions. Most recently Saller et a1.5 presented a new diagram which differs with respect to the composition limits of the 8 field from the others proposed by these authors. The purpose of the present investigation was to determine the boundaries of the d phase field. Experimental Procedures and Results Alloys—Buttons, weighing 80 g of 15 different alloy compositions were prepared by arc melting Mal-linckrodt uranium and iodide-process zirconium in a water-cooled crucible. A controlled atmosphere of argon and helium was maintained in the furnace. Prior to making each button, a sacrificial button of zirconium was melted to increase the purity of the furnace atmosphere. Each alloy was then melted six times to improve its homogeneity. Subsequently the alloy buttons were jacketed in copper and hot rolled to slabs at 775°C. From these slabs, specimens were machined for chemical, thermal, and metallographic analyses, Table I gives both the estimated chemical composition of the alloys, and the values which were obtained by analysis. The oxygen contents varied from 0.013 to 0.032 pet, nitrogen from 0.0014 to 0.014 pet, and carbon from 0.0013 to 0.011 pet. The purity of the alloys ranged from 99.947 to 99.975 pet. Thermal Analysis—The specimens for thermal analysis were blocks 11/4 x 1/4 x % in. The bead of a calibrated thermocouple was placed between two of these blocks and molybdenum wire was wrapped around the assembly. Each assembly was sealed in a quartz capsule having an argon atmosphere. The capsule was placed inside a refractory crucible which was heated in a furnace. Using a method described by Smith,' the emf of a differential thermocouple, with junctions inside and outside of the refractory crucible, was used to activate the

Jan 1, 1959

By A. Wahab Khair, Nagendra P. Reddy

"This paper presents an analysis of preliminary tests on the effect of in-situ and operating parameters on fragmentation of coal using a specially designed unique automated rotary coal cutting simulator (ARCCS). In these tests coal blocks with an approximate dimension of 18 in. x 15 in. x 6 in. (45.7 cm x 38.l cm x 15.2 cm) were first. subjected to confining pressures, equivalent to in-situ conditions. Such. blocks were then cut by the cutting head of the ARCCS, thus simulating the action of the continuous miner in underground coal mining. During the tests under a particular set of in-situ and operating parameters a number of other parameters such as 1) penetration of bit into coal, 2) penetration resistance (thrust and cutting pressures), 3) rotating velocity of cutting head, and 4) acoustic emission activity in the coal block were monitored. After each cutting cycle the fractured surfaces were photographed and a velocity survey was conducted by using a sonic technique. At the end of each experiment the cutting paths of the bits in coal were photographed using an optical microscope with a camera attached to it. Furthermore, the coal fragments were collected in bags using a vacuum cleaner. These fragments were then sieved for size distribution analysis. The results of the preliminary tests indicated that underground coal cutting can be simulated in the laboratory and the effects of the important parameters, i.e. operating and in-situ parameters, can be studied successfully. INTRODUCTIONThe continuous-mining machines which were introduced in the 1950's now account for more than half the production of coal from underground mines. Unfortunately, these continuous miners, which were designed for increased productivity, have also increased the concentration of respirable dust in mines. As a result, the Federal Coal Mine Health and Safety Act of 1969 was enacted to enforce on the coal operators that the airborne respirable dust not exceed 2 mg/m3, and was intended to reduce the incidence of coal workers pneumoconiosis. This plus the other aspects of the legislation and the subsequent monitoring and enforcement by MSHA made it very imperative that the coal operators provide a relatively healthier and safer working environment for the coal miners. Since 1970, the Federal government has paid over 11.7 billion dollars to more than 470,000 miners with coal workers pneumoconiosis and their survivors (1). These regulations, coupled with the assessment of the continuing burden on miners, the mining industry and taxpayers appear to have provided an impetus for the mining .community towards comprehending the different parameters that influence dust generation and entrainment."

Jun 1, 1988

By J. M. Stuve

Low-temperature adiabatic heat-capacity determinations were made by the Bureau of Mines in the temperature range from 5 to 300 K for the two crystalline modifications of zinc sulfide, sphalerite (ß) and wurtzite (a). The entropy at 298.15 K of sphalerite was evaluated as l4.02±0.04 cal/deg mole and wurtzite, l4.06±0.04 cal/deg mole.

Jan 1, 1974

When the writer first saw the square-set timbering, he was at once impressed with the fact that the frames made by the sets, along the lode amI across it, were composed of panels with rectangular openings, and it was puzzling to understand howsuch a collapsible construction could resist pressure that came unevenly on it. Later he learnt that the sets did not satisfactorily resist such pressure, but mullock filling had, to a great extent, to undertake this duty for them. So it appeared that the setswere practically an expensive scaffolding, enabling the miners to work in the face and carry the stope forward, till the filling was put in behind them to take the pressure of the roof and sides of the excavation. Of course some of the pressure is takenby the sets, but this is because the set timbers prevent the filling being done perfectly; if it were practicable to remove the sets before filling, the filling by itself would more effectively support the back and wall, than do the combined sets andmullock. On the whole, therefore, the sets can hardly be said to be of much benefit where pressure has to be resisted. Despite this, the system has been of immense service in mining wide lodes, but for all that, it can only be pronounced a makeshift.This is no reflection on Deidesheimer, the famous originator of the square set, for, as will be shown later on, this way of...

Jan 1, 1911

By Jaime Mercado

"El presente texto señala los yacimientos de cobre de tamaño medio, que por su especial ubicación geográfica son de importancia regional y nacional su desarrollo. Dichos yacimientos están ubicados en la faja costera de Arequipa (Condestable, Raúl, Río Seco, Monterrosas, Acarí y Chapi) y Lima. Además de estos yacimientos, existen otros, cuyas reservas y potencial no están determinados. Sus principales características son: proximidad a la carretera Panamericana, puntos de embarque de primera importancia, depósitos de almacenamiento de ácido sulfúrico, energía eléctrica del Mantaro y Charcani en proceso de ejecución. "

Mar 1, 1982

By Richard J. Robbins

Mechanical moles have developed through a tedious process of evolution. At times it has seemed that tunnel borers have been subject to the same Darwinian rules of evolution as their zoological namesakes who, despite their efficiency, are highly specialized and still restricted to soft soil conditions near the surface of the ground. HISTORICAL HIGHLIGHTS The Robbins Co. began its work in this field in 1947 with the development of a twin-bore continuous coal miner. Although these machines were used primarily in coal, two of the early prototypes were used to bore tunnels through shale. Disk cutters were first used on these machines and showed promising results as core breakers between drag-bit kerfs. In 1953, James S. Robbins and Assocs. undertook the development of a 25-ft 9-in.-diam circular tunnel borer for Mittry Construction Co. to be used at Oahe Dam in South Dakota (Fig. 1). This is believed to be the first rock tunnel-boring machine built since the end of the 19th century when short sections of the Channel tunnel were successfully bored in chalk from both the English and French shores. Another Oahe Dam machine was built in 1955, and then a series of three small-diameter machines for the company's first real experience with medium-hard and hard rock (Fig. 2) None of these three could be considered a success, although they laid the groundwork for the success that followed. Interbedded shale and limestone in Pittsburgh and hard limestone in Chicago quickly pointed up the weaknesses in these machines which were used by Perini, Dravo, and Healey. Among the problems were the high breakage rate of tungsten-carbide drag bits, too much flexibility in the drive shafts, failure of high-pressure hydraulic systems, chain-conveyor failure, and general lack of rigidity and strength. In 1956 another attempt at medium-hard and hard rock-boring proved this time to be a success and a significant turning point in the development

Jan 1, 1970

By Valenta R. K

Copper-gold deposits associated with iron oxide rich rocks (ironstones) form a distinctive and significant ore association which occurs widely, but not exclusively, in the Proterozoic. The ironstone association is geochemically distinct from the BIF-hosted gold association (Phillips and Groves, 1983). Not only is the former association higher in its copper and commonly uranium, FEE, ¦bismuth, molybdenum contents, but also the ironstones in many cases do not originate as chemical sediments. Although both associations form in metamorphic environs, they reflect differing tectonostratigraphic settings and with consequent differences in ore-forming fluids and ore-forming mechanisms. This paper discusses the nature and origin of the ironstone-related copper-gold association, with particular reference to the Tennant Creek district in northern Australia, and emphasises the two stage origin of mineralisation. The genetic model developed has significant implications for other ore-bearing environments.

Jan 1, 1990

By W. D. Douglas, M. J. Hampshire, G. J. C. Young

This paper describes the replacement of a conventional filtration, clarification, and zinc precipitation plant by a carbon-in-pulp (CIP) electrowinning plant, with the objective of improving the recovery of gold from cyanide leached, acid plant calcines. The discussion covers early laboratory studies to the design and erection of the full-scale plant. Particular emphasis is placed on the problems encountered with commissioning and the strategies employed to solve them.

Jan 1, 1985

By K. K. Kelley

This report contains heat-content values for hexagonal crystalline germanium dioxide between 298.15° and 1,350° K., and for germanium dioxide glass between 298.15° and 1,800° K. experimentally determined by the Federal Bureau of Mines. No similar data for these substances are to be found in the literature. The heat-content and corresponding entropy-increment data are presented both in tabular form and by equations. Free energy of formation values are estimated for germanium dioxide glass at 298.15° and 1,800° K.

Jan 1, 1961

By Louis Jordan

THIS paper presents in an abbreviated form the chief points of interest in an investigation of the tarnish-resistant qualities of silver alloys, an investigation which has been carried out as a joint research by the Bureau of Mines and the Bureau of Standards and will later be reported in detail in an official publication from these bureaus. In 1923 a Commission of Gold and Silver Inquiry was created by a Resolution of the U. S. Senate to study the causes of the depressed condi¬tion of the gold and silver industry. In cooperation with this commission the Bureau of Mines made a preliminary survey to determine in what ways, if any, it might be possible to increase the uses of silver. One of the possibilities indicated by this survey was the development of silver alloys which should be non-tarnishing, or at least less-tarnishing, than the usual sterling silver (copper-silver). The preparation of a rather wide variety of silver alloys and the determination of their behavior under accelerated tarnish tests in the laboratory was therefore undertaken by the bureaus, of Mines and Standards as a joint investigation. PREVIOUS WORK ON TARNISH RESISTING SILVERS At about the time this work was undertaken interest in tarnish-resisting silvers was rather keen due to announcements from England that there had been developed a new silver alloy, "Silanca," which was resistant to tarnish. It was even frequently described in the popular press as "non-tarnishing." A few samples and several analyses of "Silanca" which were available indicated that it was an alloy of sterling fineness, that is, it contained about 93 per cent. of silver, with approximately 4.5 per cent. of antimony and either cadmium or zinc, or both, to make the remaining 2.5 per cent.

Jan 1, 1927

Mounting pressures to increase efficiency and yield, conserve energy, or minimize pollution have all taken their toll on the minerals industry. As management and technical personnel take a harder look at their operations for ways to shave cents off operating costs or to squeeze a bit more productivity out of existing equipment, instrumentation often comes up as the most effective answer. When Amax Lead installed an automatic grind control system in its Buick mill, ore throughput increased by 3 to 5%. Mill operators calculate that the initial investment is returned to them several times annually.

Jan 2, 1978

By Dr. O’Neil Thomas J., Donald W. Gentry

"There is nothing so disastrous as a rational investment policy in an irrational world. " John Maynard Keynes INTRODUCTION The principles of time value of money concepts were discussed and illustrated in Chapter 3. The importance of time value of money and the role it plays in the discipline of engineering economy have been well established. Chapter 9 further illustrates that project evaluation criteria that fail to consider this aspect are seriously deficient in providing appropriate capital budgeting decisions. Obviously future project receipts and expenditures must be discounted to permit valid comparisons with current cash flows. Although the concept of discounting is widely accepted, the selection of the appropriate discount rate has been the source of considerable debate and much disagreement. This chapter, then, provides an overview of the theoretical and practical considerations for determining or calculating the appropriate rate for discounting, the corporate cost of capital. Note specifically that the assumption of constant business risk among the various investment alternatives is maintained throughout this chapter. THE INTUITIVE APPROACH The fact that interest exists suggests that all money has a cost associated with its use. The cost of this money may be the result of either explicit or implicit charges or some combination of the two. Any time an individual or a firm consumes less than the total earnings generated in a given time period that individual or corporation has either consciously or unconsciously decided to "invest" these excess funds in some type of activity. For instance, the individual or corporation may decide to invest the excess funds in tangible property, place the funds in a money market account, or simply keep these funds in cash. In any case, these funds have been invested in some type of activity which promises the investor some return on the invested capital. Remembering that the firm's primary objective should be the maximization of shareholder wealth, then intuitively it seems reasonable to suggest that the firm should not invest in any project where the anticipated return does not exceed the cost of funds (capital) committed to the project. Indeed, if the firm always invests in projects having returns in excess of the cost of capital committed to them, then the wealth of the firm (as measured by the price of common stock) should be in-

Jan 1, 1984