Question: For a multi - product firm, if a project's beta is different from that of the overall firm, then: Question 1 options: the project should
For a multiproduct firm, if a project's beta is different from that of the overall firm, then:
Question options:
the project should be discounted at the Tbill rate in all cases.
the project should be discounted using the overall firm's beta.
the project should be discounted at a rate commensurate with its own beta.
the project should be discounted at the market rate in all cases.
the CAPM can no longer be used.
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