1. You are planning to purchase a house at a price of $1,000,000. You are applying for a 30-year mortgage with 6% interest rate at the Bank of Northeastern to pay this amount. The bank agrees to lend you the rest of the house price if you have cash to pay 28% down payment plus a 5% closing cost of the loan amount. How much cash do you need?

1. It will cost $68,095 to acquire a small ice cream truck. Truck sales are expected to be $15,000 a year for 8 years. After 8 years, the truck is expected to be worthless as that is the expected remaining life of the cooling system. What is the payback period of the ice cream truck? (Do not round intermediate calculations; round your final answer to 2decimal places, e.g., 32.16. Do NOT include "$" in your answer.)
3. A project requires an initial investment of $100,754. There will be no cash flow in the first year. Starting in the second year, the project will generate an annual cash flow of 20,000 for seven years. After the last $20,000, the project is done. However, $9,576 is required to restore the environment in the year after the last $20,000. Assume the required return is 5%. What is the NPV of this project?(Do not round intermediate calculations; round your final answer to 2decimal places, e.g., 32.16. Do NOT include "$" in your answer.)