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Stock A has a standard deviation of 40%. Stock B has a standard deviation of 28%. Based on this we can say Stock A has
Stock A has a standard deviation of 40%. Stock B has a standard deviation of 28%. Based on this we can say Stock A has more firm specific risk than Stock B Stock B is more likely to have an actual return that is close to its expected return Stock A has more market risk than Stock B There is a 95% chance that Stock A has a return that is +/- 4096 from its actual return You are evaluating a capital in proiect that we cost 50.500 - Year $12.000 - Year 2-20.000 Year 3 - $9.000 The required return is 13% and the critical acceptance level is 19 years Calculate the internatetem me whether on not the project should be accepted based solely on the Internal Rate of Return test.xlsx http://www.collegescholarships.org/calculators/financial.be The IRR is 17.27% and we should accept the project The IRR is 17.27% and we should reject the project The IRR is 21.37% and we should accept the project The IRR is 21.37% and we should reject the project None of the other answers is correct
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