Assume a project has normal cash flows.
1. Assume a project has normal cash flows. All else equal, which of the following statements is CORRECT?
A project’s NPV increases as the WACC declines.
A project’s discounted payback increases as the WACC declines.
A project’s MIRR is unaffected by changes in the WACC.
A project’s IRR increases as the WACC declines.
A project’s regular payback increases as the WACC declines.
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