1. A firm projects net income of $100,000, dividends of $30,000, and net new financing of $20,000 next year. Which of the following is not an alternative to address the planned net new financing need?

A) all of these answers are acceptable alternatives

B) borrowing $20,000 in long-term debt

C) issuing $20,000 in preferred stock

D) reducing dividends to $10,000

E) issuing $20,000 in common stock

2. Determine the IRR on the following? projects:

a. An initial outlay of ?$13,000 resulting in a single free cash flow of ?$16,822 after 8 years

b. An initial outlay of $13,000 resulting in a single free cash flow of ?$54,023 after 14 years

c. An initial outlay of $13,000 resulting in a single free cash flow of $107,224 after 21 years

d. An initial outlay of $13,000 resulting in a single free cash flow of $13,653 after 3 years