30. A project's cash flows have a beta of 1.2, a standard deviation of $200, and a coefficient of variation of 0.40. What is the expected cash flow?

a) $80

b) $167

c) $240

d) $500

37. The coupon rate on a debt issue is 12%. If the yield to maturity on the debt is 9.33%, what is the after-tax cost of existing debt if the firm's tax rate is 34%?

a) 3.17%

b) 4.08%

c) 6.16%

d) 7.92%

38. Assume a project has earnings before depreciation and taxes of $10,000, depreciation of $40,000, and that the firm has a 30 percent tax bracket. What are the after-tax cash flows for the project?

a) $47,000

b) $19,000

c) a loss of $21,000

d) none of the above

39. You require an IRR of 13% to accept a project. If the project will yield $10,000 per year for 6 years, what is the maximum amount that you would be willing to invest in the project?

a) less than $25,000

b) more than $25,000 and less than $30,000

c) more than $30,000 and less than $35,000

d) more than $35,000

### Recently Asked Questions

- What is Newton’s version of Kepler’s Third Law? Specifically, express this law mathematically, indicating units. I appreciate your help. Thanks a lot.

- The light curve from this star will have many “dips” due to the seven planets. Would the dips vary greatly in size or would they vary minimally in

- An elderly woman is seen at your office with a complaint of loss of vision in her left eye , which had been transient on a couple of occasions but is now