A project under consideration has an internal rate of return of 11% and a beta of 0.7. The risk-free rate is 4% and the
Posted: Sat Feb 26, 2022 9:06 am
A project under consideration has an internal rate of return of
11% and a beta of 0.7. The risk-free rate is 4% and the expected
rate of return on the market portfolio is 11%. a. Should the
project be accepted? (Click to select) b. Should the project be
accepted if its beta is 1.5? (Click to select) c. Does your answer
change?
11% and a beta of 0.7. The risk-free rate is 4% and the expected
rate of return on the market portfolio is 11%. a. Should the
project be accepted? (Click to select) b. Should the project be
accepted if its beta is 1.5? (Click to select) c. Does your answer
change?