1. Apple Bees is considering a fast food concession at a fair. The cash flow pattern is somewhat unusual because you must build the stands, operate them for 3 years, then tear down the stands and restore the site to its original condition. Estimated Cash Flows are:

Time	Expected Cash Flows
0	($600,000)
1	300,000
2	400,000
3	400,000

The IRR of this venture is closest to?

2. The Moore Corporation has operating income (EBIT) of $2,250,000. The company's depreciation expense is $450,000. Moore is 120% equity financed, and it faces a 40% tax rate. Assume the firm has no amortization expense. What is the company's net income?