Question: You are comparing two mutually exclusive projects. The crossover point is 12.3 percent. You have determined that you should accept project A if the required
You are comparing two mutually exclusive projects. The crossover point is 12.3 percent. You have determined that you should accept project A if the required return is 13.1 percent. This implies you should:
a) always accept project A.
b) be indifferen to the projects at any discount rate above 13.1 percent.
c) always accept project A if the required return exceeds the crossover rate.
d) accept project B only when the required return is equal to the crossover rate.
e) accept project B if the required return is less than 13.1 percent.
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