Decker's is a chain of furniture retail stores. Furniture Fashions is a furniture maker and a supplier to Decker's. Decker's has a beta of 2.53 and is 100% equity financed. Furniture Fashion's beta of 1.09 and has a debt-equity ratio of 1.23. The risk-free rate of return is 3.5 percent, the market risk premium is 8 percent, and taxes are 40%. What discount rate should Decker's use if it considers a project that involves the manufacturing of furniture