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A project requires an investment of $ 1 0 million and offers an annual after - tax cash flow of $ 1 , 2 5
A project requires an investment of $ million and offers an annual aftertax cash flow of $ indefinitely. If the firm's WACC is and the project is riskier than the firm's average projects, should it be accepted?
A Yes, since the project's NPV is positive.
B Yes, since a zero NPV indicates marginal acceptability.
C No since the project's NPV is zero.
D No since the project's NPV is negative.
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