Question: When evaluating a new project proposal, it is appropriate to use the C C C as the hurdle rate if: The project is in a
When evaluating a new project proposal, it is appropriate to use the as the hurdle rate if:
The project is in a different line of business than the company's core operations.
The project has a higher risk profile than the company's average projects.
The project has a lower risk profile than the company's average projects.
A similar publicly traded company is used as a proxy to estimate the project's cost of capital.
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