The book value of equity of a firm is $100 million and the market value of equity is $200 million. The face value of debt of the firm is $50 million and the market value of debt is S60 million. What is the market value of assets of the firm? Select one: O A. $260 million OB. $150 million OC. $160 million OD. $250 million Coca-Cola Amatil (CCL) has a weighted average cost of capital of 9%. CCL is considering investing in a new plant that will save the company $25 million over each of the first two years, and then $10 million each year thereafter. If the investment is $100 million, what is the net present value (NPV) of the project? Select one: O A. $36.5 million OB. $34.2 million OC. $39.7 million OD. $37.5 million Which of the following statements regarding firm commitment IPOs is FALSE? Select one: O A. The underwriter guarantees that it will sell all of the issue at the offer price. OB. The underwriter purchases the entire issue (at the offer price) and then resells it at a slightly higher price to interested investors. OC. If the entire issue does not sell out, the remaining shares must be sold at a lower price and the underwriter must take the loss. OD. It is the most common underwriting arrangement