Question 22 (1 point) The T-bill rate is 2.5% and the return on market is 5.5%, according to CAPM, what are the returns on stock A and stock B? Stock A Stock B Beta 1.6 28 ORA = 7.30% and RB - 10.90% RA = 6.30% and RB - 9.95% RA - 4.50% and RB = 8.76% RA = 6.57% and RB - 8.50% Question 23 (1 point) You are choosing between investing in a large scale vs. small scale project, which project you should undertake based incremental CF approach? The discount rate is 10%. Project Big Budget Small Budget Incremental CF -200 -700 Ci 180 390 C2 100 520 Should you accept small or big budget project? Small project since NPV of incremental CF is -$48.52 is Large project since NPV of incremental CF $38.02 is > Small project since NPV of incremental CF $38.02 is >