Question: 13-3. Refer to the associated graph. Identify when the WACC approach to project acceptability agrees with the CAPM approach. When do recommendations of the two

13-3. Refer to the associated graph. Identify when the WACC approach to project acceptability agrees with the CAPM approach. When do recommendations of the two approaches differ? Explain why. (13.3) 0.30 0.25 0.20 0.15 0.10 0.05 0 1.0 2.0 3.0 A B D C WACC CAPM Required Rate of Return Rate of Return RM 5 10% b

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