16-A business's receipt of a $115,000 building, with a $75,000 mortgage payable, and issuance of $40,000 of common stock will

increase stockholders' equity by $115,000.

increase stockholders' equity by $40,000.

increase assets by $40,000.

decrease assets by $75,000.

17-You are considering investing in a startup project at a cost of $100,000. You expect the project to return $500,000 to you in seven years. Given the risk of this project, your cost of capital is 20%. The NPV for this project is closest to:

$129,200

$29,200

$39,500

$139,500