1. You have been offered an investment project that will produce a cash flow of $450,000 in year 1, $325,000 in year 2, and $280,000 in year 3. If you dont invest in this project you will keep your money in the Hancock Horizon Microcap mutual fund which earns 11.5%, with about the same level risk? What is the most you should pay for the new investment project?

A. $866,996

B. $1,055,000

C. $1,201,826

D. $1,093,782

2. Suppose you invest $12,000 in a mutual fund that earns an average annual return of 9.1%. How much will you have in the account at the end of 14 years?

3. You purchased WWE stock 7 years ago at a price of $8.37 per share. The price of WWE stock today is $61.74. What was the annual rate of return on your investment?

A. 17.821%

B. 9.865%

C. 14.574%

D. 33.038%