Q 16.12. A firm can be worth $50 million, $150 million, or $400 million, each with equal probabilities. The firm is financed with one bond, expecting to pay its promised $100 million at an expected interest rate of 5%. If the firm's projects require an appropriate cost of capital of 10%, then what is the firm's equity cost of capital? What is the debt's expected payoff? What is the debt's promised rate of return?