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The firm's WACC is the correct discount rate to use in NPV analysis when: - o correlation of all new projects are equal. o NPV

The firm's WACC is the correct discount rate to use in NPV analysis when: - o correlation of all new projects are equal. o NPV is positive when discounted by the WACC. o risk of the project is equal to the risk of the firm's typical or average project. o firm is well diversified and the unsystematic risk is negligible. o None of the above

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