Q1. Gamma Enterprises, Inc. is considering a project that has the following cash flow and WACC data.What is the project's MIRR?

WACC: 13%

Year: 0 1 2 3 4

Cash flows: -$1,100 $300 $320 $340 $550

Q2. Hogwarts Inc. is considering a project with the following cash flows:

Initial cash outlay = $2,500,000

After-tax net operating cash flows for years 1 to 4 = $779,000 per year

Additional after-tax terminal cash flow at the end of year 4 = $600,000

Compute the profitability index of this project if Hogwarts' WACC is 11%.