A firm with a cost of capital of 7% is considering two projects (they are not mutually exclusive), one expected to return 9% and a second expected to return 9.5%. Which projects should it pursue

pursue both projects

Explanation:

The projects are not mutually exclusive thus the choice of one project does not hold back the pursuant of another (can occur at the same time).

Projects which provide a return above their cost of capital must be pursued as they are less risky.

Both projects provide the return above the costs of capital and should be pursued.

it's actually a very difficult task, due to not many people can make 2 million dollars in 2 years. besides that, to the not-so-realistic ideas, you can create a business. it could be practically anything, but make it into a business that isn't that known yet, you get me? also, lets not forget about stock market. that's where all the good stuff happens. use investments at the beginning and begin to raise up your business or whatever you're going to do. as this is a very non-realistic idea, it's still worth the shot!