7. If the NPV of a project is positive (e.g., $500) and the required rate of return (WACC) is 8%, the IRR must be (Select the BEST and most Precise response possible)):

a. greater than 8%

b. greater than or equal to 8%

c. equal to 8%

d. less than or equal to 8%

e. less than 8%

8. Yesterday Apple paid a $1.50 per share dividend on its common stock. Apples dividend and common stock will grow at a constant rate. Apple has a 10% return on equity and pays out 60% in dividends to stockholders. The required rate of return on Apple stock is 7.5 percent. Using the constant growth valuation model (the one we used in class) what should be the value per share of Apples stock?