XYZ plans to build a new plant at a cost of $3, 250,000. The plant is expected to generate annual each flow of $1, 225,000 for the next five years. If the firm's required rate of return is 18% what is the NPV of this project? (Do not round intermediate computations. Round final answer to nearest dollar.) $2, 875,000 $, 830, 785 $580, 785 $2, 225, 875 The expected return on EDC stock in 16.5%. If the risk-free rate is 5% and the beta of EDC is 2.3: then what is the risk premium on the market? 2.5% 5.0% 7.5% 10.0% HST is considering a project with the following each flows (the information applies to 2 question that follow): If the projects pass the payback screen, they are evaluated by means of the Net Present Value (NPV) and Internal Rate of Return (IRR) methods. The firm's cost of capital is 9%. The project's NPV is: $3, 803 $10,000 $28, 803 $35,000 The project's IRR is: 9.00% 12.55% 16.35% 20.0%