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The Treasury bill rate is 5% and the market risk premium is 8%. Project P Internal Rate of Return, % 12. 8 13 9 Beta
The Treasury bill rate is 5% and the market risk premium is 8%. Project P Internal Rate of Return, % 12. 8 13 9 Beta @.70 0.00 1.00 0.10 1.19 Occ S T a. What are the project costs of capital for new ventures with betas of 0.45 and 1.45? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Beta 0.45 Cost of Capital 1.00% 1.001% 1.45 b. Which of the capital investments shown above have positive (non-zero) NPV's? (You may select more th the box with the question mark to produce a check mark for a correct answer and double click the box empty the box for a wrong answer.) Project P Project Q Projects 2 Project T 2 Project R
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