Question 41 (4 points) A firm has a capital structure of 0% debt and 100% common equity. The firm's stock has a beta of 1.25. The current risk free rate in the economy is 2.00%, while the historical market risk premium is 6.00%. The firm wants to invest in a project that will pay an annual cash flow of $10.00 million forever. The project will cost $95.00 million today. What is the cost of capital for this firm? 06.00% 8.25% 8.85% 9.50%