Question
Geothermals WACC is 11.8%. Executive Fruits WACC is 12.7%. Now Executive Fruit is considering an investment in geothermal power production. a. Should it discount project
Geothermals WACC is 11.8%. Executive Fruits WACC is 12.7%. Now Executive Fruit is considering an investment in geothermal power production.
a. Should it discount project cash flows at 12.7%?
multiple choice
-
Yes
-
No
b. What would be a better discount rate for this investment? (Enter your answer as a percent rounded to 1 decimal place.)
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Market Wizards Updated Interviews With Top Traders
Authors: Jack D. Schwager
1st Edition
1118273052, 978-1118273050
