An all-equity financed firm is evaluating whether or not they should invest in any of the following four investment projects (W, X, Y, Z): PROJECT W PROJECT X PROJECT Y PROJECT Z Beta 0.65 0.80 1.25 1.40 IRR 12.30% 12.50% 16.80% 19.90% Assume the the risk-free rate is 4.90% and the expected return of the market portfolio is 14.90%. A) If this firm's Weighted Average Cost of Capital (WACC) is 14.9%, then what must be its cost of equity capital? % (Round to 2 decimal places) B) What must be the overall beta for the firm? (Round to 2 decimal places) C) The firm's CFO is currently suggesting that they should use their overall WACC of 14.9% as the hurdle rate to evaluate all four projects. Given the expected return of each project and the CFO's suggested policy, which of the four projects would the firm accept and which would it reject? For Project W the firm should O(No answer given) Obe indifferent Oaccept the project Oreject the project For Project X the firm should O(No answer given) Oaccept the project Obe indifferent Oreject the project For Project Y the firm should O(No answer given) Obe indifferent Oreject the project Oaccept the project For Project Z the firm should O(No answer given) Obe indifferent Oaccept the project Oreject the project D) Complete the statements below about what the firm should actually do (Round any numerical answers to 2 decimal places). For Project W the firm should use a hurdle rate of % and thus the firm should actually O(No answer given) Obe indifferent Oaccept the project Oreject the project For Project X the firm should use a hurdle rate of % and thus the firm should actually O(No answer given) Obe indifferent Oreject the project Oaccept the project For Project Y the firm should use a hurdle rate of % and thus the firm should actually O(No answer given) Obe indifferent Oaccept the project Oreject the project For Project Z the firm should use a hurdle rate of % and thus the firm should actually O(No answer given) Oaccept the project Obe indifferent Oreject the project