Which of the Following Statements Is Correct

question 9

Multiple Choice

Which of the following statements is correct?

• A) If a new project is riskier than the firm's existing projects, then it should expect to be "charged" a higher cost of capital than the firm's overall WACC.
• B) If a new project is riskier than the firm's existing projects, then it should expect to be "charged" a lower cost of capital than the firm's overall WACC.
• C) The project's risk and the cost of capital to which it is compared are independent.
• D) None of these choices are correct.

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Definitions:

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A provincial law in Ontario, Canada, that aims to protect individuals from discrimination and harassment in specific areas such as employment, housing, and services.

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