1. Amazon has a WACC of 9% and is considering the following mutually exclusive projects: Show your work.

Project A 0 1 2 3 4 5

-$300 $175 $175 $175 $290 $290

Project B -$725 $325 $325 $300 $300 $300

Which Project would you not recommend? Explain.

2- Finance, as taught in universities, is generally divided into three areas. List and describe those three areas of finance.

3- What is the relationship between economics, finance, and accounting?

4- What is the difference between Primary Market and Secondary Markets?