Boone Brothers remodels homes and replaces windows. Ace Builders constructs new homes. If Boone Brothers considers expanding into new home construction, it should evaluate the expansion project using which one of the following as the required return for the project? a. Higher of Boone Brothers' or Ace Builders' cost of capital. b. Ace Builders' cost of capital. c. Lower of Boone Brothers' or Ace Builders' cost of capital. d. Boone Brothers' cost of capital. e. Average of Boone Brothers' and Ace Builders' cost of capital.
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