Accepting projects with high degrees of correlation with a frim's existing projects can lower a from its overall risk A True B False Question 21 If a depreciable asset is sold for more than its (tax) book value any amount realized in excess of book value but less 1 depreciable basis is taxed at the firm's ordinary income tax rate. A True False Question 22 Quest is considering expansion into a new product line. It was found that firms marketing this product line have an a 1.40. If the average return on stocks in general is expected to be 1496t, and the risk-free rate is 1196, what is the proje rate of return using the capital asset pricing model approach? 25% B 1396 16.896 15.2%