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The WACCs of 2 companies A and B are respectively 16% and 11%. Both companies anticipate undertaking new projects that are perceived as more risky
The WACCs of 2 companies A and B are respectively 16% and 11%. Both companies anticipate undertaking new projects that are perceived as more risky than their usual projects. What would be the right choices concerning the discount rates to calculate the NPVs for these new projects? 16% for both companies. 11% for both companies. 16% for A and 11% for B. 18% for A and 13% for B. None of the above
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