Problem $9-22$ Certainty equivalents

A project has the following forecasted cash flows:

The estimated beta is $1\mathrm{.}56.$ The market return is $16\%,$ and the risk$-$free rate is $4\%.$

a$.$ Estimate the cost of capital for the project and the project's PV$.$

b$.$ What are the certainty equivalent cash flows in each year?

c$.$ What is the ratio of the certainty$-$equivalent cash flow to the expected cash flow in each

year?