A company is evaluating a project that will require $600,000 in assets. The project is financed with 50% debt and 50% equity and is expected to generate earnings before interest and taxes of $100,000. The firm has a tax rate of 20% and pays 2% interest on the debt. What is the ROE for this project? (Please show steps)

a) 6.27%

b) 25.07%

c) 16.67%

d) 20.00%