Page 3 of 6 9) Project A has an initial cost of $100,000 and provides cash inflows of $44,000 a year for three years. ge | 3 ProjectB has an initial cost of $100,000 and produces a cash inflow of S124,000 in year 3. The projects are mutually exclusive. Which project(s) should you accept if the discount rate is 11.5 percent? What if the discount rate is 13.7 percent? 10) You are considering two independent projects. Project A has an initial cost of $125,000 and cash inflows of $46,000, $79,000, and $51,000 for years 1 to 3, respectively. Project B costs $135,000 with expected cash inflows for years 1 to 3 of $50,000, $30,000, and S100,000, respectively. The required return for both projects is 16 percent. What are IRRS for project A and B? 11) BJ's Fashions is growing quickly. Dividends are expected to increase by 15 percent annually for the next three years, with the growth rate falling off to a constant 5 percent thereafter. The required return is 16 percent and the company just paid a $3.80 annual dividend. What is the current share price? 12) Your local toy store just announced that it will pay a $4 dividend next year, $3 the following year, and then a final liquidating dividend of $46 a share in year 3. At a discount rate of 14 percent, what should one share sell for today