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QUESTION 29 Suppose you have just analyzed a project using the cost of capital for your company, assume 10%. After further analysis you estimate the
QUESTION 29 Suppose you have just analyzed a project using the cost of capital for your company, assume 10%. After further analysis you estimate the asset beta for the project is 7 when the risk free rate is 296 and the expected return on the market is 1246 you should a. adjust the cost of capital for the project to 129 Obleave the cost of capital alone, it is 10% c. adjust the cost of capital for the project to 996 d. it depends
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