Multiple Choice
If firms use the company cost of capital for evaluating all of their projects, which of the following is likely?
I. Accepting poor low risk projects.
II. Rejecting good high risk projects.
III. Correctly accept projects with average risk.
A) I only
B) II only
C) III only
D) I,II and III
Correct Answer:
Verified
Correct Answer:
Verified
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