On-Line Text Co

question 18

Essay

On-line Text Co.has four new text publishing products that it is considering.The projects are of equal risk with a beta of 1.6.The risk-free rate is 4.2 percent and the market rate is expected to be 12.3 percent.The projects and their expected internal rates of return are: W = 14.4 percent; X = 18 percent,Y = 16.4 percent; and Z = 17.2 percent.Which projects should be accepted? Justify your acceptance decision.

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Definitions:

Adviser

A professional who provides expert advice in a particular area such as business, education, law, or financial planning.

Enjoyable Way

A method or approach to doing something that is pleasant and satisfying.

Young Men's Christian Association

A worldwide organization (YMCA) that provides community programs and services focusing on youth development, healthy living, and social responsibility.

Prayer Circle

is a group of people who come together to pray, typically for a common purpose or to support one another.