A firm has

$37

billion in equity,

$31

billion in debt, and a tax rate of

21%

. The pre-tax cost of\ debt and equity are

1.7%

. and

6.3%

., respectively. What discount rate should it use for a\ typical project?\

4.04%

\

4.10%

\

3.48%

\

3.19%

A firm has $37 billion in equity, $31 billion in debt, and a tax rate of 21%. The pre-tax cost of debt and equity are 1.7%. and 6.3%., respectively. What discount rate should it use for a typical project? 4.04% 4.10% 3.48% 3.19%