FIN 370 help A Clearer path to student success/uophelp.com FIN 370 help A Clearer path to student success/uop | Page 28

www.uophelp.com Prepare in Microsoft® Excel® or Word. • Ch. 9: Questions 7 & 8 (Questions and Problems section) • Ch. 10: Questions 3 & 13 (Questions and Problems section) • Ch. 11: Questions 1 & 7 (Questions and Problems section) Format your assignment consistent with APA guidelines if submitting in Microsoft® Word. Click the Assignment Files tab to submit your assignment. • Ch. 9: Questions 7 & 8 (Questions and Problems section) 7. Calculating IRR [LO5] A firm evaluates all of its projects by applying the IRR rule. If the required return is 14 percent, should the firm accept the following project? 8. Calculating NPV [LO1] For the cash flows in the previous problem, suppose the firm uses the NPV decision rule. At a required return of 11 percent, should the firm accept this project? What if the required return is 24 percent? • Ch. 10: Questions 3 & 13 (Questions and Problems section) 3. Calculating Projected Net Income [LO1] A proposed new investment has projected sales of $635,000. Variable costs are 44 percent of sales, and fixed costs are $193,000; depreciation is $54,000. Prepare a pro forma income statement assuming a tax rate of 35 percent. What is the projected net income?