Sky Ltd is considering two mutually exclusive projects, Project A and Project B. Both projects cost $180,000 and required 20% return. Following are the expected after tax cash flows of each project (cash flows occur at the end of each year.) Year 1 2 3 Project A $140,000 $40,000 $88,000 Project B $190,000 $40,000 $30,000 Calculate the Net Present Values (NPV) of Project A and B (show all calculations and show answers correct to two decimal places) and explain which project the company should choose. Amy needs to take out a loan to buy a computer that costs $2,375. Friendly Bank can give her the loan at 12% pa interest rate compounded monthly. If she borrows the funds from the Bank and pay $100 per month how many years will it take her to pay back the loan? (Show all calculations and show answer correct to two decimal places.) Fisk Ltd just paid a $2.00 dividend per share. The annual dividends are expected to grow at 15% a year next year, 10% year after that and then on third year the growth rate of dividends is expected to settle down to 7% a year indefinitely. If the required return for this share is 17% what would be the current price of the share? (Show answer correct to the nearer cent.)