8. A mining company is thinking about investing in an electricity project (a very different project from an operating point of view). The shareholders of the company, that has a leverage ratio (D/V) equal to 30%, require a return on equity (Re) of 17%. The weighted average cost of capital (WACC) of electricity companies that are comparable to the project have a leverage ratio (D/V) of 50%. Beta debt is 0.2 in both the mining and electricity sectors. The risk free rate is 4%, the market risk premium (Rm -Rf) is 6%, and the corporate tax rate is 40%. What is the return on assets (Ra) of the new project? a) 9.5% b) 12.5% c) 14.5% d) 15.0%