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18. Which of the following conditions might lead a financial manager to decide to expedite a positive net present value investment project? A) The risk-free
18. Which of the following conditions might lead a financial manager to decide to expedite a positive net present value investment project? A) The risk-free interest rate increases. B) Uncertainty about future project value increases. C) Investment required for the project is expected to increase in the near future. D) The cash inflows generated by the project are lower than previously thought. 19. Calculate the expected rate of return on a stock using a two-factor APT model. Assume the following data for the stock: Risk-free rate = 4%; Factor-1 beta = 1.2; Factor-2 beta = 0.5; Factor-1 risk-premium = 5%; Factor-2 risk-premium = 2%. A) 10% B) 11% 13% D) 17%
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