Farmers Bank offers to lend you $50,000 at a nominal rate of 6.0%, simple interest, with interest paid quarterly. Merchants Bank offers to lend you the $50,000, but it will charge 6.7%, simple interest, with interest paid at the end of the year. What's the difference in the effective annual rates charged by the two banks? a. 0.70% Ob. 0.53% Oc0.73% Od. 0.56% e. 0.87% What is the present value of the following cash flow stream at a rate of 12.0%? Years: CFS: a. $13,641.51 O b. $17,000.00 c. $12,179.92 Od. $19,165.34 Oe. $24,034.02 0 1 2 3 4 $0 $1,700 $3,400 $5,100 $6,800 Hartzell Inc. had the following data for 2020, in millions: Net income = $600; after-tax operating income [EBIT(1-T)] = $700; and Total assets $1,750. Information for 2021 is as follows: Net income = $825; after-tax operating income [EBIT(1-T)] $1,375; and Total assets = $2,050. Assume the firm had no excess cash. How much free cash flow did the firm generate during 2021? a. $1,675 million b. $1,075 million Oc$1,150 million Od. $525 million Oe. $1,125 million