Johnson Entertainment Systems is setting up to manufacture a new line of video game consoles. The cost of the manufacturing equipment is $1,773,750. Expected cash flows over the next four years are $350,000, $828,000, $1,230,000, and $1,350,000. Given the company's required rate of return of 11 percent, what is the NPV of this project?

Group of answer choices $300,672.27 $400,896.36 $1,102,465.00 $1,002,240.91

Question 8 TeleNyckel, Inc, has a beta of 0.29 and is trying to calculate its cost of equity capital. If the risk-free rate of return is 2 percent and the market risk premium is 5 percent, then what is the firm's after-tax cost of equity capital if the firm's marginal tax rate is 30 percent?

Group of answer choices .61% .72% .55% .39%

Question 9 Car Depot expects earnings and dividends to grow at a rate of 25% for the next 4 years, after the growth rate in earnings and dividends will fall to zero, i.e., g = 0. The company's last dividend, D0, was $1.25, its beta is 1.20, the market risk premium is 5.50%, and the risk-free rate is 3.00%. What is the current price of the common stock?

Group of answer choices $29.05 26.77 27.89 30.21 31.42