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A project under consideration has an internal rate of return of 18% and a beta of 1.80. The risk-free rate of return is 2% and
A project under consideration has an internal rate of return of 18% and a beta of 1.80. The risk-free rate of return is 2% and the expected rate of return on the market portfolio is 10%. Should the project be accepted? Explain your answer and show all calculations to support it.
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