24) A firm is considering purchasing an asset that will have a useful life of 10 years and cost $5 million; it will have installation costs of $500,000, a salvage or residual value of $500,000 and annual straight-line depreciation of $500,000. What would be the book value of this asset after 7 years? A) $200,000 B) $2,000,000 C) $1,500,000 D) $2,500,000 25) Takelmer Industries has a different WACC for each of three types of projects. Low-risk projects have a WACC of 8.00%, average-risk projects a WACC of 10.00%, and high-risk projects a WACC of 12%. Which of the following projects do you recommend the firm accept? Project Level of Risk Low Average Average Low High High Average IRR 9.50% 8.50% 7.50% 9.50% 14.50% 17.50% 11.50% G C) B, C, E, F, G D) A, B, C, D, E, F,G B) A, D, E, F, G, A) A, B, C, D,G