A firm has 65% probability of being worth $100 million and a 35% probability of being worth $130 million. There is one bond outstanding that promises to pay $100 million at an interest rate of 7%. The cost of capital for the firm's projects is 9% What is the expected return on the levered equity? Group of answer choices 32.6% 4.5% 2.0% 2.5% A firm has 65% probability of being worth $100 million and a 35% probability of being worth $130 million. There is one bond outstanding that promises to pay $100 million at an interest rate of 7%. The cost of capital for the firm's projects is 9%. What is the expected return on the levered equity? Group of answer choices 32.6% C 4.5% 2.0% 2.5%