A project under consideration has an internal rate of return of 13% and a beta of 0.4. The risk-free rate is 3%, and the expected rate of return on the market portfolio is 13%.

a. What is the required rate of return on the project? (Do not round intermediate calculations. Enter your answer as a whole percent.)

b. Should the project be accepted?

• Yes

• No

c. What is the required rate of return on the project if its beta is 1.50? (Do not round intermediate calculations. Enter your answer as a whole percent.)

d. Should the project be accepted?