Question 18 (0.5 points) With risk averse investors, we can conclude that the hurdle rate associated with an asset held in isolation with total risk of 0.28 will be greater than that of an asset with a standard deviation of 0.12. However, these assets are held in portfolios, it is possible that the required return could be higher on a stock that has lower total risk. True False Question 19 (0.5 points) You are revising for your corporate finance exam, and you read that funds retained by the firm for reinvestment by the firm has a cost. This cost is the opportunity cost of using equity called cost of capital. It is also known as WACC. True False Question 20 (0.5 points) When considering mutually exclusive projects, if their NPV exceeds the IRR, then the project should be accepted. True False