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Please show in details, not just answers thank you! 1. 2. Maud'Dib Intergalactic has a new project available on Arrakis. The cost of the project
Please show in details, not just answers thank you! 1.
2. Maud'Dib Intergalactic has a new project available on Arrakis. The cost of the project is $38,000 and it will provide cash flows of $21,400, $27,300, and $27,000 over each of the next three years, respectively. Any cash earned in Arrakis is "blocked" and must be reinvested in the country for one year at an interest of 3.1 percent. The project has a required return of 8.9 percent. What is the project's NPV A33,076.52 B25,577.58 C37,075.00 D22,191.45 F40,445.46
You decide to invest in a portfolio consisting of 24 percent Stock A, 44 percent Stock B, and the remainder in Stock C. Based on the following information, what is the variance of your portfolio? Probability of State of Economy Return if State Occurs State of Stock A Economy Stock B Stock C - 4.70% -13.70% Recession .126 -11.30% 18.10% Normal .689 10.60% 10.90% .185 21.79% 25.59% 30.29% Boom Multiple Choice .00874 .01062 .00940 .01269 .00987Step by Step Solution
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