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ant to do Normal No Spac.. Heading1 Heading2 Title Subtit Font Paragraph Styles At an interest rate of 12%, which of the following sequences of
ant to do Normal No Spac.. Heading1 Heading2 Title Subtit Font Paragraph Styles At an interest rate of 12%, which of the following sequences of cash flows should you prefer and why? 1. Project A Project B Project C Year 1 $400 $180 $600 Year 2 $400 $420 $420 Year 3 $400 $600 $180 2. Assume Go Fish, Inc. has about 6.0 million shares outstanding and the stock price is $24.50 Also assume the P/E ratio is about 16.4x. Calculate the approximate market capitalization for Go Fish, Inc 3. A government bond has a face value of 100 euros, a coupon rate of 5.5 percent and matures in six vears. The bond pavs annual interest pavments. Calculate the vield to maturity of the bond (in euros) if the price of the bond is 105 euros 4. Tapped Out is a no-growth firm and has 1.3 million shares outstanding. It expects to earn a constant $11.5 million per year on its assets. If it has no debt, all earnings are paid out as dividends, and the cost of capital is 12.3%, calculate the current price per share of the stock
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