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Assuming no change to a companys overall risk level, if a projects return is less than the companys cost of capital Question 12 options: a)

Assuming no change to a companys overall risk level, if a projects return is less than the companys cost of capital

Question 12 options:

a)

It should increase the companys stock price (build shareholder wealth)

b)

It should maintain the companys stock price (maintain shareholder wealth)

c)

It should decrease the companys stock price (destroy shareholder wealth)

d)

We cant predict its impact on the companys stock price

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