Consider a project lasting one year only. The initial outlay is $1,000 and the expected inflow is $1,230. The opportunity cost of capital is p=0.23. The borrowing rate is ro - 0.69, and the tax shield per dollar of interest is Tc = 0.21. (Do not round Intermediate calculations. Round your answers to 2 decimal places. Leave no cells blank - be certain to enter "0" wherever required.) a. What is the project's base-case NPV? Base-case NPV b. What is its APV If the firm borrows 33% of the project's required investment? Adjusted present value The table below shows a book balance sheet for the Wishing Well Motel chain. The company's long-term debt is secured by its real estate assets, but it also uses short-term bank loans as a permanent source of financing. It pays 10% interest on the bank debt and 8% interest on the secured debt . Wishing Well has 10 million shares of stock outstanding, trading at $91 per share. The expected return on Wishing Well's common stock is 20%. (Table figures in 5 millions) Bank loan Accounts payable Current liabilities Cash and marketable securities Accounts receivable Inventory Current assets Real estate Other assets Total $ 100 260 50 $ 410 2.250 150 $ 2,810 $ 360 160 $ 52e 1,790 500 $ 2,810 Long-term debt Equity Total Calculate Wishing Well's WACC. Assume that the book and market values of Wishing Well's debt are the same. The marginal tax rate is 21%. (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.) Weighted average cost of capital