(DURHAM) -- Business executives are in a better mood and they are looking for increased earnings and capital spending in the year ahead. That is according to the latest Duke University/CFO Magazine Survey.

Duke finance professor John Graham said the level of optimism among those business leaders is at its highest level since early 2007. "Bottom line earnings should go up by 18 percent. Now, some companies have a low level of earnings now, so the 18 percent is growing from a low level," said Graham.

Spending on research and development is projected to grow by four percent and advertising is also expected to be up by four percent this year.  U.S. firms plan to increase full time workforces by just over one percent this year, according to the survey.