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Please provide explanations All of the following are true about CAPM approach to estimate any project discount rate except: a. it assumes that risk free
Please provide explanations
All of the following are true about CAPM approach to estimate any project discount rate except:
a. it assumes that risk free rate and risk premium are compounded over time
b. None of the given answers
c. it assumes that shareholders are risk averse
d. it does not specify sources of risk
e. it penalises long-term projects
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