Milky Way Equity Partners expects to sell its investment in Jupiter Motors for $125 million in 8 years at a discount rate of 7%. At this discount rate, calculate the present value of this cash flow. St. Louis Brewing Co. has an unlevered beta of 2.8 , however, they want to add debt until their debt-to-equity ratio is 4.7 . Currently, they have a tax rate of 20%. Calculate the new levered beta. Grokster Investment analysts have determined the market rate of return to be 8.7%. In evaluating investments over a 20 year time horizon, they use the 20 year T-Bond rate as the risk-free rate which is currently 1.2%. In order to evaluate investments, calculate the Market Risk Premium (MRP).