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Fiddler Company has a Weighted Average Cost of Capital of 12.5%. It recently has only been able to invest in projects that yield a return
Fiddler Company has a Weighted Average Cost of Capital of 12.5%. It recently has only been able to invest in projects that yield a return of 9-10%, which of the following statements is most likely correct? The firm's stock price will eventually go down. The firm's stock price will go up. The firm's WACC is not a relevant factor in making capital investment decisions. The firm is creating/adding value for its shareholders
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