2. True/false (S9.1S9.3) True or false? a. The company cost of capital is the correct discount rate...
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2. True/false (S9.1–S9.3) True or false?
a. The company cost of capital is the correct discount rate for all projects because the high risks of some projects are offset by the low risk of other projects.
b. Adding fudge factors to discount rates undervalues long-lived projects compared with quick-payoff projects.
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Related Book For 
Principles Of Corporate Finance
ISBN: 9781264080946
14th Edition
Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans
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