Question: A project under consideration has an internal rate of return of 13% and a beta of 0.6. The risk-free rate is 8%, and the

A project under consideration has an internal rate of return of 13%

A project under consideration has an internal rate of return of 13% and a beta of 0.6. The risk-free rate is 8%, and the expected rate of return on the market portfolio is 13%. a-1. Calculate the required return. Required return a-2. Should the project be accepted? Yes % No b-1. Calculate the required return if its beta is 1.6. Required return b-2. Should the project be accepted? % Yes No

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