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FINC 333: Review Quiz 1. You purchase a 20-year 0% wupon bond with semi-ammal payments. The annual yield to maturity on the band is 5.758.

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FINC 333: Review Quiz 1. You purchase a 20-year 0% wupon bond with semi-ammal payments. The annual yield to maturity on the band is 5.758. What is the current market price for the bomi per $100 in por value! 2. You espect a stock to pay dividends in years 1-3 of 31.00, 31.50, and 35.00, respectively. At the end of centre de respect the ho rate for the firm to be 1%. The appropriate dieevent rate 20% 3. A firm has $25 billion in debt, 360 billion in equity, and a tax rate of 25%. The pre-tax cost of debt and exity are 75% and 12%, respectively. What disant rate should it for a typical project? 4. Cekuate the NPV for the following cellow: CFI -- 1000. CF1 - 300: CF2 - 2001: CFI - 200 CF4 = 500, where the client rate of the project is 12% 1 FINC 333: Review Quiz 1. You purchase a 20-year 0% wupon bond with semi-ammal payments. The annual yield to maturity on the band is 5.758. What is the current market price for the bomi per $100 in por value! 2. You espect a stock to pay dividends in years 1-3 of 31.00, 31.50, and 35.00, respectively. At the end of centre de respect the ho rate for the firm to be 1%. The appropriate dieevent rate 20% 3. A firm has $25 billion in debt, 360 billion in equity, and a tax rate of 25%. The pre-tax cost of debt and exity are 75% and 12%, respectively. What disant rate should it for a typical project? 4. Cekuate the NPV for the following cellow: CFI -- 1000. CF1 - 300: CF2 - 2001: CFI - 200 CF4 = 500, where the client rate of the project is 12% 1

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