Jane is considering a project that will produce cash inflows of $2,500 a year for 5 years. The project has required rate of return of 15 percent and an initial cost of $7,800. What is the discounted payback period? Select one: a. never b. 2.91 years C. 1.39 years d. 4.52 years e. 3.47 years A corporate bond with a 8 percent coupon was issued last year. Which one of these would apply to this bond today if the yield to maturity is 7 percent? Select one: The coupon rate has decreased to 7 percent. The bond is currently selling at a premium. O The bond is selling at par value. d. The current yield drops below the yield to maturity, The current yield exceeds the coupon rate. Wendy owns 3000 shares of stock in Fast Food and wants to win a seat on the board of directors. The firm has a total of 10,000 shares of stock outstanding. Each share receives one vote. Presently, the company is voting to elect three new directors. Which one of the following statements must be true given this information? Select one: a. If straight voting applies, Wendy is assured a seat on the board. Regardless of the voting procedure, Wendy does not own enough shares to gain a seat on the board. c. If cumulative voting applies, Wendy can control all of the open seats. d. If cumulative voting applies, Wendy is assured one seat on the board. e. If straight voting applies, Wendy can control all of the open seats. You recently purchased a stock that is expected to earn 30 percent in a booming economy, 9 percent in a normal economy, and lose 33 percent in a recessionary economy. There is a 5 percent probability of a boom and a 75 percent chance of a normal economy. What is your expected rate of return on this stock? Select one: -2.25 percent b. -3.40 percent 1.65 percent d. 3.50 percent 2.60 percent