What if we used WACC for all projects, regardless of risk?Assume WACC = 15% Project Required Return
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What if we used WACC for all projects, regardless of risk? Assume WACC = 15% Project Required Return IRR A 20% 17% B 15% 18% C 10% 12%
Which project will be accepted if WACC is used for the discount rate? Explain your reason.
If you use the required return according to the risk of the project, which project will be accepted? Explain your reason
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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