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Chapter 14






                          Overview






                       Recap of                Real               Certainty
                      basic NPV              options            equivalents              CAPM





                                                  Key models








                                            Cost of capital and
                                          investment decisions





                                                       Which
                                                discount rate?







                                Co WACC                                    APV

                                                       Risk

                                                     adjusted
                                                      WACC














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