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Practice Problem 4 (IRR* practice) All equity firm (no bond, no preferred stock, etc.), current cost of equity (i.e., stock-12% E(a) 11%. A new project

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Practice Problem 4 (IRR* practice) All equity firm (no bond, no preferred stock, etc.), current cost of equity (i.e., stock-12% E(a) 11%. A new project which is twice riskier than the firm's eq uity promises 16% rate of return. Should the project be accepted

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