8. Problem 11.08 (Capital Budgeting Criteria: Ethical Considerations) [ The risk-adjusted WACC is 15%. NPV:$IRR:million% NPV: \$ million b. How should the environmental effects be dealt with when this project is evaluated? sure that they have anticipated all costs in the "no mitigation" analysis from not doing the environmental mitigation. II. The environmental effects should be ignored since the mine is legal without mitigation. III. The environmental effects should be treated as a sunk cost and therefore ignored. V. The environmental effects should be treated as a remote possibility and should only be considered at the time in which they actually occur. c. Should this project be undertaken? If so, should the firm do the mitigation