The firm just paid an annual dividend of $1.25 and is adopting a policy of increasing its common stock at a constant rate of 2.25%. What will the dividend be in year 3? A firm must choose from six capital budgeting proposals Outlined below. The firm is subject to capital rationing and has an initial budget of -$1,000,000; the firm's WACC is 15 percent. Initial Investment Project IRR NPV 1 $200.000 19% $100,000 2 400,000 20,000 3 250,000 16 60,000 4. 200,000 12 -5,000 150,000 20 5 50.000 15 400,000 6 150,000 Using the internal rate of return approach to ranking projects, which project(s) should the firm accept if the projects are independent? A firm must choose from six capital budgeting proposals outlined below. The firm is subject to capital rationing and has an initial budget of -$1,000,000; the firm's WACC is 15 percent. Project Initial Investment IRR NPV $200.000 1. 19% $100,000 2 400,000 20.000 16 60.000 8 250,000 12 -5.000 4 200,000 20 50.000 5 150,000 16 150,000 6 400,000 Using the internal rate of return approach to ranking projects, which project(s) should the firm accept if the projects are independent