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UNT has a project available to it. The expected cash flows of the project are as follow: Year 0-$1,500, Year 1 $500, Year 2 $600,
UNT has a project available to it. The expected cash flows of the project are as follow: Year 0-$1,500, Year 1 $500, Year 2 $600, Year 3 ?, Year 4 $800, Year 5 $900. The cost of capital for this project is 10%. If the net present value of this project is $743.48, what is the missing value in year 3? $250 $450 $700 $500 $300 The regular payback period is often used to make the mortgage refinance decision. Suppose that the closing costs of refinancing is $2,400, and the monthly savings you can enjoy from the lower payment because of the refinancing is $150. It would make sense for you to refinance your mortgage if you plan to stay in the same house for the next 2 years or longer. False True Allen Corp's required rate of return on its stock is 11.50%. The risk-free rate is 3.5%, and the expected return on a market portfolio is 9.5%. What is the beta for Allen Corp? 1.16 0.98 1.33 0.84 1.01 An investment will pay you $500 annually forever. The required rate of return for this investment is 6%. If the current price of this investment is $8,250, you should accept this investment. True False
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