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*A project will have one of the following time 1 payoffs, each with the corresponding probability. $99 with probability 13%. $314 with probability 58%. $506

*A project will have one of the following time 1 payoffs, each with the corresponding probability.

$99 with probability 13%. $314 with probability 58%. $506 otherwise.

The discount rate is 9.8%. The project is partially financed with debt with a time 1 promised payoff of $218. What is the promised return on the debt? Give your answer in percentage to the nearest 0.1 percent.

Selected Answer:	63.8
Correct Answer:	18.2 0.1

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