1. What is the NPV of a project that costs $115,000 today and cash inflows $40,000 annually for four years from today if the opportunity cost of capital is 12%?

2. What is the plow back ratio for a firm that has a required return 16%, dividend yield 10% and a return on equity of 20%?

3. What is the value of the expected dividend per share 5 years from now for a stock that has a required return of 16%, a price of $45, and a constant growth rate of 10%?

4. What should be the price for a common stock paying $1.4 annual constant dividends if the discount rate is 5%?

5. If a project's expected return is 10%, which represents a 16% return in a booming economy and a - 8% (8% loss) return in a stagnant economy, what is the probability of a stagnant economy?

6. What is the coupon rate for a seven-year bond with yield to maturity of 3% and current price is $1,221.175

7. What happens to the price of a six-year bond with an 8% coupon when interest rates change from 9% to 8%?

8. What is the rate of return for an investor who purchased $1,054.47 for a five-year bond with a 7% coupon and sells the bond one year later for $1,040.67?

9. Calculate the risk premium for Stock E given the following information: risk-free rate = 2.6%, market return = 13%, Stock E = 0.85 beta.

10. What is the beta of a portfolio with an expected return of 14% if Treasury bills yield 2% and the market risk premium is 8%?

11. Cooley Company's stock has a beta of 2, the risk-free rate is 4.00%, and the market risk premium is 8.50%. What is Cooleys risk-premium?

12. Porter Inc's stock has an expected return of 15%, a beta of 1.25. If treasury-bills are yielding 5.00%, what is the market risk premium?

Please show the calculations on a 10bii calculator