Question: = Skwishum Pest Control (beta = 0.81) is considering a project that has an internal rate of return (IRR) of 12.7%. If the risk-free rate

 = Skwishum Pest Control (beta = 0.81) is considering a project

= Skwishum Pest Control (beta = 0.81) is considering a project that has an internal rate of return (IRR) of 12.7%. If the risk-free rate is 2% and the expected return on the market is 14.5%, should Skwishum accept the project based on its CAPM-implied required rate of return? O no, because the IRR exceeds the required rate of return O no, because the required rate of return exceeds the IRR O yes, because the required rate of return exceeds the IRR O yes, because the IRR exceeds the required rate of return

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