The Treasury bill rate is 3% and the market risk premium is 7%.

Project	Beta	Internal Rate of Return, %
P	0.65	7
Q	0	10
R	1.00	12
S	0.05	11
T	0.60	14

a.	What are the project costs of capital for new ventures with betas of .40 and 1.78? (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Beta	Cost of Capital
0.40	%
1.78	%

b.	Which of the following capital investments have positive NPVs? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.)
	Q R P S T