plz help ASAP

1. Use the following, information to answer Security the questions Standard deviation Expected return Market 1.0 10.0% 15% Risk-free 0.0 2.0% 5% Firm A 1.2 20% Firm B 15.0% 25% Firm C 1.5 30% Figure out the expected return for Firm A. (25points) 1) 2) Figure out the beta for Firm B (25points) 3) Firm C has a beta of 1.5 and a standard deviation of 30%. Given that Fimm A has a beta of 1.2 and a standard deviation of 20%, i) which firm has a higher total risk? Firm A or Firm C? ii) which firm has or Firm C? Why? (40points) a higher expected return? Firm A 1) There are three kinds of risk: total risk, systematic risk, and unsystematic risk. Which risk affects a large number of assets? (20points) Among three kinds of risk, which risk represents the sensitivity of individu stock return to the market return? (20points) 2. Answer the questioms he current stock price for Firm D is $80 while the current dividend is $8. Suppose that the dividend is expected to grow at 10% every equity for Firm D based on dividend growth model. (30points) 1) T year. Figure out the east at 2) Figure out the cost of debt if the bond price for Firm D is $1015 for the 4-year bond with a par value of $1,000 and a coupon rate of 10% paid annually (30points) 3) The tax rate is 40%. Firm D has a Debt-to-Equity ratio (D/E) of 150%.) Figure out the weight for Equity (E/V) using Debt-to-Equity ratio (D/E). ii) Figure out the weighted average cost of capital of Firm D (WACC). (40points) 4) Given the following cash flow table, figure out the profitability index (PI) based on the answer to Question 3. If you cannot figure out Question 3, use a WACC rate of 12%. Do you accept or reject the project? (40points) Projected Cash Flows Year 0 Total Cash Flow 400,000 150,000 150,000 100,000 60,000 5) What is the relationship between WACC and capital budgeting? For example, is a high WACC likely to accept a project or is a low WACC likely to accept a project? (30points)