Question: Question content area top Part 1 RiverRocks ( whose WACC is 1 1 . 5 % ) is considering an acquisition of Raft AdventuresRaft (

Question content area top
Part 1
RiverRocks
(whose WACC is
11.5%)
is considering an acquisition of
Raft AdventuresRaft
(whose WACC is
15.9%).
What is the appropriate discount rate for
RiverRocks
to use to evaluate the acquisition? Why?

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