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if the risk of an investment project has a beta of 1: a- projects initial cost should be increased/ decreased to account for the increase/
if the risk of an investment project has a beta of 1:
a- projects initial cost should be increased/ decreased to account for the increase/ decrease in risk.
b- projects discount rate must not be adjusted based on the risks of the projects cash flows.
c- projects discount rate must be adjusted based on the sources of project financing.
d- average rate used for all prior projects should be used as the new projects discount rate.
e- market rate of return should be used as the projects discount rate.
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