Lila Home Design is considering a new project with perpetual revenue of $435,000, cash costs of $310,000, and a tax rate of 21 percent. The firm plans to issue $250,000 of debt at an interest rate of 7.3 percent to help finance the initial project cost of $475,000. The firms the un-levered cost of equity 15 percent. It has a target debt-to-value ratio of .6. What is the firms cost of equity? What is the NPV of this project?