On-line Text Co. has four new text publishing products that it must decide on publishing to expand its services. The firm's WACC has been 17%. The projects are of equal risk, Beta of 1.6. The risk-free rate is 7% and the market rate is expected to be 12%. The projects expected returns are as follows:

Project W = 14%

Project X = 18%

Project Y = 17%

Project Z = 15%

What project(s) should be clearly rejected?

D. Reject Z

B. Reject Y and Z

A. Reject X and Y

C. Reject W