1. Downingtown Industries has an overall (composite) WACC of 12 percent. This cost of capital reflects the cost of capital for a Downingtown project with average risk; however, there are large risk differences among its projects. The company estimates that low-risk projects have a cost of capital of 10 percent and high-risk projects have a cost of capital of 15 percent. The company is considering the following projects: Project Expected Return Risk 15% High Average High Low Low Which of the projects should the company select to maximize shareholder wealth? A and B A. B. and A, B, and D A. B, C, and D