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A project is determined to have equal probability of generating $1 million annually or $500,000 annually for four years. The initial outlay is $2 million.

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A project is determined to have equal probability of generating $1 million annually or $500,000 annually for four years. The initial outlay is $2 million. The expected return on Treasury bills is 6% and the market risk premium is 8%. What is the highest project Beta that will justify acceptance of the project? Select one: a. 2.31 b. 1,56 c. 0.0 d. 1.00

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