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You are a consultant to a firm evaluating an expansion of its current business. The...

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Accounting

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You are a consultant to a firm evaluating an expansion of its current business. The cash-flow forecasts (in millions of dollars) for the project are as follows: On the basis of the behavior of the firm's stock, you believe that the beta of the firm is 1.44 . Assume that the rate of return available on risk-free investments is 5% and that the expected rate of return on the market portfolio is 11% a. What is the project IRR? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) b. What is the cost of capital for the project? (Do not round intermediate caiculations, Enter your answer as a percent rounded to 2 decimal places.) Answer is complete but not entirely correct

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