Question: question 11) A project has the following expected cash flows: CF0=$500, CF1=$200, CF2=$200, and CF3=$400. If the projects cost of capital is 9%, what is

question 11) A project has the following expected cash flows: CF0=$500, CF1=$200, CF2=$200, and CF3=$400. If the projects cost of capital is 9%, what is the NPV?

Question 11 options:

$158.50

$150.70

$200.35

$160.70

Question 13 (2 points)

The following table shows the annual expected returns for two stocks.

Probability of return

Stock A

Stock B

0.10

-3%

-10%

0.20

2

1

0.40

7

8

0.20

12

16

0.10

17

24

If a portfolio is made up of 50% of Stock A and 50% of Stock B, is the portfolios standard deviation assuming that the correlation between the two stocks is 0.50.

Question 13 options:

5.48%

8.98%

6.58%

6.32%

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