The Hoosier Co$.$ is considering a project that requires initial investment of $$1$ million. The project will be financed with $$400,00($book value$)$ debt @ $14\%$ and $$600,000$ equity $($book value$).$ It generates EBIT of $$285,714\mathrm{.}3$ per year forever $($perpetuity$).$ The risk of project$$s assets $($BA$)$ is $1.$ Tax$-$rate is $30\%.$ The expected return on market is $20\%,$ and the risk$-$free rate is $14\%.$

Assume that the change in invested capital each year is zero $($i$.$e$.$ depreciation exactly offsets capex and increases in NWC$).$

Answer the following questions: