11. The firm has invested in a five-year project. The initial cost for the project is 1,000,000. There is no change in net working capital. The first years sales are $100,000 and the tax rate is 21 percent. If you expect the OCF for each year of the project to be the same as the first years OCF, the NPV of the project is -1,000,000. Based on this information, the project is operating at the: A) accounting break-even point. B) cash break-even point. C) financial break-even point. D) the best case scenario E) the base case scenario

12. Today, you purchased 300 shares of ABC stock for $49.80 per share. You also bought three 1-year, $50 put options on ABC stock at a cost of $0.55 per share. If ABC stock price turns out to be $60 in one year, what would be the profit/loss of your strategy in one year? A) $3,060 B) $2,895 C) $0 D) $105 E) $15,105