Imagine an asset your firm needs to acquire. If you buy this asset, it will cost you $180,000 and it has an economic life of 10 years. If you buy this asset, you will depreciate it to zero with straight-line method. The corporate tax rate is 21%. If the pre-tax cost of debt is 6.40%, at what annual lease payments (starting immediately) will you be indifferent? You have $240,000 to invest. You invest $108,000 in stock A and the rest in stock B. The standard deviations of stock A and stock B's returns are 14.2% and 10.5%, respectively. If your portfolio standard deviation is 8.00%, what is the correlation between these two stocks' returns?