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Question 2 (10 marks) Cost of Capital An all-equity firm is considering the following projects: Project Beta We 0.55 Xe 0.90 1.10 ze IRR (%) 10.04 10.5e 14.00 17.02 1.50 The T-bill rate is 5.0 percent and the expected return on the market is 12.0 percent. Required: (a) Which project/s should be accepted? Use the SML of the project to determine which projects should be accepted. (7 marks) Type in your answer here. Please adjust the box to accommodate all your workings. (b) Which project/s should be accepted if the firm's overall cost of capital was used as a hurdle rate for all projects? Compare the answers in (a), explain if there is inconsistency. + (3 marks) Type in your answer here. Please adjust the box to accommodate all your workings