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Question 8 (1 point) Saved Which of the following statements is correct? If a firm has a beta that is less than 1.0, say 0.9,

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Question 8 (1 point) Saved Which of the following statements is correct? If a firm has a beta that is less than 1.0, say 0.9, this would suggest that its assets' returns are negatively correlated with the returns of most other firms' assets. None of the statements is correct. A relatively risky future cash outflow should be evaluated using a relatively low discount rate. If a firm's managers want to maximize the value of the stock, they should concentrate exclusively on projects' market, or beta, risk. If a firm evaluates all projects using the same cost of capital, then the riskiness of the firm as measured by its beta will probably decline over time

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