Question
happy lion is considerin investing in a project whose risk is greater than the firms current risk level based on any method assesing risk. Which
happy lion is considerin investing in a project whose risk is greater than the firms current risk level based on any method assesing risk. Which of the following should management do when evaluating this project?A.To take the higher risk level into account, they will need to use a discount rate that is greater than the cost of capital to evaluate risk.B. To take the higher risk level into account, they will need to increaee the NPV of the project.C. To take the higher risk level into account, they will nee to increase IRR of the project. D. They should always reject the project, because it will increase the firm's risk level
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