Question: answer both pls 6. The payback period rule: * (2 Points) discounts cash flows. O ignores initial cost. always uses all possible cash flows in

 answer both pls 6. The payback period rule: * (2 Points)

answer both pls

6. The payback period rule: * (2 Points) discounts cash flows. O ignores initial cost. always uses all possible cash flows in its calculation. O None of the above. 7. The Dow Chemical has a debt-equity ratio of .7 The firm is analyzing a new project that requires an initial cash outlay of $210,000 for equipment. The flotation cost is 5.2 percent for equity and 3.7 percent for debt. What is the initial cost of the project including the flotation costs? * (2 Points) $302.400 $250.997 $280.758 $220,089 $333,333

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