1- Palestine Corporation is considering a short-term or long-term financing plan of $4,000,000 assets. It expects the following one-year interest rates over the next three years: 6.5%, 7.75%, and 9%. The long-term interest rate will be 7.5% during those three years. What will be the difference in interest costs over the three years? a- Long-term interest will be $140,000 less than short-term interest. b- Long-term interest will be $630,000 more than short-term interest. C- None of the options are true. d- Long-term interest will be $30,000 less than short-term interest. 2- Iraq Company expects sales next year to be $50,000,000. Inventory and accounts receivable (combined) will increase $8,000,000 to accommodate this sales level. The company has a profit margin of 6 percent. Its dividend payout is 30 percent of profit. How much external financing will the firm have to seek? Assume there is no increase in liabilities other than that which will occur with the external financing. a- More than $5,000,000 of external financing is needed. b- Between $1,000,000 and $5,000,000 of external financing is needed. C- No external financing will be needed. d- Less than $1,000,000 of external financing is needed. 3- Lebanon Company will produce 20,000 units in January using level production. If each unit costs $500 to manufacture, what is the dollar value of ending inventory in January if beginning inventory is 10,000 units and January sales are 15,000? a- There will be a shortage of inventory. b- Less than $5,000,000 C- Between $5,000,000 and $10,000,000 d- Greater than $10,000,000 co