Task 2: Suppose the before-tax cost of debt of the company is 6%. If the company has a capital structure of 40% debt and 60% equity, a cost of equity of 12%, and a marginal tax rate of 30%, what is its weighted average cost of capital? I Task 3: The firm has an 80,000 capital budget and has the opportunity to invest in 5 different projects. The initial investment and NPV of the projects are given in the table. Assuming that the projects are not divisible, which project(s) should the company invest in? (Use the profitability index (PI) as a decision rule) Profitability index Project 1 Project 2 Project 3 Project 4 Project 5 Investment outlay, CFO 45000 40000 20000 18000 15000 NPV 18000 16000 9000 8000 4000