A consultancy calculates that it can supply crude oil assaying services to a small oil producer for $130,000 per year for five years. There are some upfront costs the consultancy will require the oil producer to absorb. What is the maximum that these upfront costs could be, if the equivalent annual annuity to the oil company is to be under $145,000, given that the cost of capital is 8%? O A. $15,000 B. $59,891 C. $145,000 D. $68,874 3 Investment A: Year: 0 1 2 3 5 Cash flow: - $14,000 $5,000 $5,000 $5,000 $5,000 $5,000 Investment B: Year: 0 1 2 3 5 Cash flow: - $15,000 $7,000 $7,000 $7,000 $7,000 $7,000 Investment C: Year: 0 1 2 3 5 Cash flow: - $18,000 $12,000 $3,000 $3,000 $3,000 $3,000 The cash flows for three projects are shown above. The cost of capital is 7.5%. an investor decided to take projects with a payback period two years or less, which of these projects would he take? O A. Jnvestment A B. Investment B c. Investment C D. none of these investments What must be the price of a $2,000 bond with a 6.2% coupon rate, annual coupons, and 15 years to matunity YTM is 8.5% APR? OA. $2,265,21 B. $1,618.01 OC. $1.294.40 D. $1,941.61