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27. Project Rastarum is expected to generate $12,400 each year for the next five years costing Blizzent Co. $40,000 today. If the company's WACC is

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27. Project Rastarum is expected to generate $12,400 each year for the next five years costing Blizzent Co. $40,000 today. If the company's WACC is 1 896, Blizzent should the project because its IRR is_ than its WACC a. Accept; greater b. Accept; less c. Reject; greater d. Reject; less 28. Braun Tube Company just paid a dividend of $2.41 per share at the end of last year. Future dividends are expected to grow' at a constant rate of 1.89% per year for the forseeable future. What is the intrinsic value of the stock if your required rate of return is 12.47%? a. $28.15 b. $24.88 c. $23.21 d. $20.94 29. Beginning with an investment in one company's securities, as we add securities of other companies to our portfolio, which type of risk declines? a. Non-diversifiable risk b. Unsystematic risk c. Systematic risk d. Market risk 30. If Daru deposits $12,278 into a bank account that pays 10.33% interest compounded quarterly, what will the account balance be in 7 years? a. $38,750.01 b. $30,319.03 c. $25,071.45 d. $ 21,938.37 8 of 11

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