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In: Finance

In order to recognize risk in capital budgeting, explain how this risk recognition could be done...

In order to recognize risk in capital budgeting, explain how this risk recognition could be done with the cash flows of the possible project ; explain how this can be alternatively be done with the weighted average cost of capital.

Solutions

Expert Solution

Above explaintion shows how capital budgeting and WACC helps in identifying the risk associated with the projects.


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