1.) Assume that a not-for-profit company has $17 million of long-term tax-exempt debt with an interest rate of 3.5%. The organization has $2.8 million of unrestricted net assets, with an estimated cost of capital of 11%, and $12 million in an endowment with an estimated 2.5% return on assets (cost of capital).

What is its weighted average cost of capital? Your answer must be rounded to 2 (two) decimal points.

2.) Assume your organization has the following inventory changes during the year:

Beginning Inventory 10 units valued at $5,000 each April purchases 5 units at $7,500 each

July purchases 30 units at $11,000 each

Total Units Used 30

Calculate the value of the ending inventory and the value of the inventory used (the inventory expense) for the year using the FIFO method of cost-flow.

Use whole numbers only (no decimals; round your answer to the whole number).

Inventory Expense =

Value of ending inventory =

3.) A hospital has just purchased a new X-Ray equipment at a cost $75,000 and they spent $10,000 remodeling the facility to accommodate the new equipment. The X-Ray is expected to have a 8-year useful life and a salvage value of 25% (i.e. $18,750).

What is the annual depreciation using straight line method? input the Annual Depreciation amount only (not accumulated depreciation). Use whole numbers only

4.)The terms of a $7,500 invoice is 2.2/5 N/30. Given this information, answer the following questions.

Use only numeric values.

What is the discount amount?

What is the discounted price?