1. Steven is considering a project that is expected to create income of $26,500 a year for four years. The fixed assets required for the project cost $62,000 and will be worthless at the end of the project. An additional $3,000 of net working capital will be required throughout the life of the project. Show your work. income and net sales are the same. treat at operating income.

What is the project's NPV if Steven's marginal tax rate is 21% and his required rate of return is 12 percent?

2. Lucas owns a $2 million US Treasury Bond with a 2.75% that matures 5/15/2050 coupon rate, how much does Lucas receive when interest is paid? Show your work [a]

When will Lucas receive his next coupon payment (MM/DD/YYYY)? [b]