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QUESTION 11 An all-equity frm that has a firm wide WACC of 10.0% is considering the projects shown below. (Project A 14.7% Expected Return, 1

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QUESTION 11 "An all-equity frm that has a firm wide WACC of 10.0% is considering the projects shown below. (Project A 14.7% Expected Return, 1 50 Beta) (Project B 6.6% Expected Return, 0.80 Beta), (Project C 7.9% Expected Return, 0.70 Beta) (Project D 18 1% Expected Return 2.30 Beta); If the T-bill rate is 4.3%, and the market risk premium is 9.0%, what should the project specific WACC be for PROJECT B?" 178% 10.6% 25.0% 8 196 100% 11.5% 8.9%

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