1. Amazing tires are considering opening a new facility to meet the demand for the next 5 years. it will require initial capital expenditures of $5 million at time zero to open the facility. after 5 years the facility will be sold, and the after-tax salvage value is expected to be $1.1 million. the initial investment in NOWC will be $700,000. amazing expects to recover its NOWC investments at the end of the project. operating cash flows of $1.3 million per tear are expected for each year of the 5-year project. what is the total cash flow for the last year of the project (year 5)?

2. You are contemplating a $100,000 investment portfolio containing three different assets. You plan to invest $20,000, $50,000, and $30,000 in assets A, B, AND C, respectively. A, B, AND C have expected annual returns of 13%, 18%, and 10%, respectively. What is the expected return of this portfolio?

3. A stock has a beta of 0.9, the expected return on the market is 12 percent, and the risk-free rate is 4 percent. the expected return on this stock must be ____ percent.

4. Suppose you have just bought an 18-year, 6% semiannual coupon bond. Your purchasing price of the bond implies that the current YTM is 8%. Put the total number of coupon payments during the 18 year period in box 1 below, the dollar amount of each coupon payment in box 2 (do not include $ sign, and in box 3, but the dollar amount that you will receive at maturity (again do not include the $ sign).