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Problem:

What decision should be made on a project of above-average risk if the project's IRR exceeds the company's WACC?

A. Accept the project; NPV is positive

B. Rejected the project; NPV is negative

C. Decide afte discounting at the IRR

D. Decide after discounting at an appropriate rate

E. Reject the project regardless of the NPV since it is too risky

Note: Provide support for your rationale.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91148336

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