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5. NPV profiles An NPV profile plots a projects NPV at various costs of capital. A projects NPV profile is shown in the graph. Identify

5. NPV profiles

An NPV profile plots a projects NPV at various costs of capital. A projects NPV profile is shown in the graph. Identify the range of costs of capital that a firm would use to accept and reject this project by responding to the drop-down choices below the graph.

A
B

This NPV profile demonstrates that as the cost of capital increases, the projects NPV .

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