Rate of return for evaluating the project

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If IBM decides to undertake a new project, will it be advisable to use its WACC as the required rate of return for evaluating the project? If yes, explain why? If no, explain why? Make sure to explain using both scenarios of the new project being (i) more risky or (ii) less risky than the firms' current projects. (assume the WACC is 11.47%)

Reference no: EM133305419

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