Please help with work showing! thanks

Q6.

Your firm's last three years of sales have been $1 million, $2 million, and $3 million (oldest to most recent). Year-end inventory was $250k, $500k, and $750k respectively.

You are considering purchasing an inventory system that will double your inventory turnover. Which of the following is a good estimate for the amount you'll save with regard to inventory investment next year, assuming your sales will be $4 million - i.e., what's the difference between your estimates of inventory with the system and without?

(Assume that your costs of goods sold stay at a constant percentage of sales throughout the past three years and next year; use same-year CoGS/Inv as your inventory turnover formula.)

a.	2000
b.	1500
c.	200
d.	500

Q7.

You forecast the free cash flows for your target firm over the next five years. The final cash flow, at the end of year five, is projected to be $215 million.

Assuming a FCF terminal growth rate of 2.5% and an overall discount rate of 11%, what is the present valueof all future cash flows after the planning period? (Hint: do not forget to discount to today.)

a.	$1.50 billion
b.	$2.59 billion
c.	$2.53 billion
d.	$1.54 billion
e.	There isn't enough information to answer the question.