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If an analyst wants to value a potential investment in the net operating assets of a division of another firm, the analyst should discount the

If an analyst wants to value a potential investment in the net operating assets of a division of another firm, the analyst should discount the projected free cash flows at the:

a.

cost of debt capital.

b.

cost of equity capital.

c.

risk-free rate.

d.

weighted average of cost of capital.

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