Question # $1$

A company is considering a project with the following cash flows and an assumed discount rate of $20\%$ Initial Outlay: $($$$5,000)$ Year $1$: $$3,000$ Year $2$: $$3,500$ Year $3$: $$3,200$ Year $4$: $$2,800$ Year $5$: $$2,500$ What should this firm decide based on the net present value $($NPV$)?$

Question # $2$

Financial data associated with a company listed below: Sales: $$1,350,000$ Variable Cost: $$375,000$ Fixed Cost: $$450,000$ Interest Expense: $$123,000$ Depreciation Expense: $$0$ What is this company$$s degree of financial leverage?