1. Consider a 3 year bond with a par value of $1000 and an 8% annual coupon. if interest rate change from 8 to 6% the bond's price will:a. increase by $51.54,b. decrease by $51.54,c. increase by $53.46 or d. decrease by $53.46

2. If a project costs $72000 and returns $18500 per year for 5 years, what is its IRR? 1. 7.39%, b. 8.50%, c. 8.98%, d. 7.67%

3. what is the value of a stock that expects to pay a $3.00 dividend next year, and then increase the dividend at a rate of 8% per year, indefinitely? Assume a 12% required return. a. $100, b. $75, c. $94.48, d. $57