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Because the WACC varies with the use of funds rather than the source of funds, some firms evaluate new projects based on the WACC of

Because the WACC varies with the use of funds rather than the source of funds, some firms evaluate new projects based on the WACC of companies in similar lines of business. This approach is called the

A. divisional approach. B. pure play approach. C. DuPont approach D. subjective approach.

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