Bergeron Foods is considering the following independent projects for the coming year:
Project Required Investment Expected Rate of Return Risk
X $6 million 14.5 % High
Y 6 million 10.5 % Average
Z 8 million 10.5 % Low
Bergeron's WACC is 12 percent, but it adjusts for risk by adding 2 percent to the WACC for high- risk projects and subtracting 2 percent for low-risk projects. which project should Bergeron accept assuming it faces no capital constraints?
a. project X and Z
b. project y and z
c. project x only
d. project y only
e. project z only