You are a consultant to a large manufacturing corporation considering a project with the following net after-tax cash flows (in millions of dollars)

Years from Now	After-Tax CF
0	-24
1-9	22
10	10

The project beta is 1.45. Assuming Rf = 3%, and E(rm) = 12%, what are the discount rate and the NPV of the project?.

	Discount Rate = 18.5%, NPV = $85.25
	Discount Rate = 20.5%, NPV = $71.54
	Discount Rate = 16.05%, NPV = $79.42
	Discount Rate = 20.8%, NPV = $85.95

You purchased 300 shares of ABC common stock on margin at $25 per share. Assume the initial margin is 50% and the maintenance margin is 35%. You will get a margin call if the stock drops below ________.

	$26.55
	$35.71
	$19.23
	$30.77