1.Chettan Inc is considering an two year project that has an initial after tax outlay or after tax cost of 100,000. The future after tax cash inflows from its project for year 1 is 50,000 and for year 2 is 50,000. Chettan uses the Net Present Value method and has a discount rate of 10%. What is the NPV of this project.

2. DosEnUno Corp is going to offer to its members preferred stock with a par value of 200 and an annual dividend rate of 16%. If a member wants a 9% return what price should he or she be willing to pay?