P10-4 An all-equity firm is considering the projects shown below. The T-bill rate is 4 percent and the market risk premium is 7 percent. If the firm uses its current WACC of 12 percent to evaluate these projects, which project(s), if any, will be incorrectly rejected? Project Expected Return Project Beta 8.0% 19.0% 13.0% 17.0% 0.5 1.2 1.4 1.6 | Using the firm's WACC of 12 percent as the IRR benchmark, project A would be rejected. Using equation 11-2, the project-specific benchmarks for each project should be