need A and B (for B need round to four decimal places either)

Avicorp has a $12.5 million debt issue outstanding, with a 6.2% coupon rate. The debt has semi-annual coupons, the next coupon is due in six months, and the debt matures in five years. It is currently priced at 95% of par value. a. What is Avicorp's pre-tax cost of debt? Note: Compute the effective annual return. b. If Avicorp faces a 40% tax rate, what is its after-tax cost of debt? Note: Assume that the firm will always be able to utilize its full interest tax shield. a. The cost of debt is % per year. (Round to four decimal places.) River Rocks, Inc., is considering a project with the following projected free cash flows: 0 1 2 3 4 Year Cash Flow (in millions) - $50.1 $9.5 $19.1 $19.9 $14.5 The firm believes that, given the risk of this project, the WACC method is the appropriate approach to valuing the project. River Rocks' WACC is 11.5%. Should it take on this project? Why or why not? O A. Cash Flows (millions) $50.1 $9.5 $19.1 $19.9 $14.5 Year 0 1 2 3 4 O B. Cash Flows (millions) - $50.1 - $9.5 -$19.1 - $19.9 - $14.5 Year 0 1 2 3 4 O C. Cash Flows (millions) $50.1 - $9.5 $19.1 - $19.9 - $14.5 Year 0 1 2 3 4 D. Cash Flows (millions) $50.1 $9.5 $19.1 $19.9 $14.5 Year 0 1 2 3 4 The net present value of the project is S million. (Round to three decimal places.)