1.If a firm has bonds outstanding and the firm would like to calculate the current cost of debt for the bonds, then the firm would:

a.use the coupon rate of previously issued bonds to estimate the cost.

b.use the current yield to maturity of the bonds to estimate the cost.

c.use the current dividend yield of the stock to estimate the cost.

d.use the coupon rate of their closest competitor's bonds to estimate the cost.

2.The NPV profile is a graph of:

a.the project's NPV over a range of discount rates.

b.the project's IRR over a range of discount rates.

c.the project's cash flows over a range of NPVs.

d.the project's IRR over a range of NPVs.