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Question: Company ABC estimates its weighted average cost of capital (WACC) is 10.5%; it has the following list of capital budgeting projects (and their associated rates of return); each project's projected cost is $1 million. Which projects should it undertake?

Project	Rate of Return
A	12.0%
B	11.5%
C	10.5%
D	10.2%
E	10.7%

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