help, asap.

1. HD Oil has an overall cost of equity of 13.6 percent and a beta of 1.08. The firm is financed solely with common stock. The risk-free rate of return is 3.4 percent. What is an appropriate cost of capital for a division within the firm that has an estimated beta of 1.18?

2. An investment project costs $21,500 and has annual cash flows of $4,500 for 6 years. What is the payback period?