Taxicorp is entirely financed with equity its risk premium, Financial Management

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Taxicorp is entirely financed with equity its risk premium

TaxiCorp is entirely financed with equity. Its risk premium is 14%. TaxiCorp calculates that a new project has a return of 16.5%. What other information is necessary to determine whether TaxiCorp should take the project? When should TaxiCorp accept the project?

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Financial Management: Taxicorp is entirely financed with equity its risk premium

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Financial Management: Taxicorp is entirely financed with equity its risk premium

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