Titan Mining Corporation has 9.2 million shares of common stock outstanding and 360,000 5 percent semiannual bonds outstanding, par value $1,000 each. The common stock currently sells for $40 per share and has a beta of 1.6, and the bonds have 15 years to maturity and sell for 111 percent of par. The market risk premium is 8 percent, T-bills are yielding 5 percent, and the companys tax rate is 40 percent. (1). What is the firm's market value capital structure? (2). If the company is evaluating a new investment project that has the same risk as the firm's typical project, what rate should the firm use to discount the project's cash flows?