(2) Here are cash flow forecasts for two mutually exclusive projects.
Based on NPV, which project would you choose if the opportunity cost of capital is 12%?
(A) A,
(B) B,
(C)the same,
(D)cannot be decided.

(1) Vincent Swift is a risk neutral investor, he will choose (A)A (B)B (C)C (D)D

(3) Based on M&M model, A firm has a debt-to-equity ratio of 1.0. If it had no debt, its cost of equity would be 15%. Its cost of debt is 10%. What is its cost of equity if there are no taxes or other imperfections? (A)21%. (B)18%. (C)15%. (D)20%.

(4) Both call and put options are impacted by the ex-dividend date. Put options become more and Call options become________ due to the dividend payment. (A) expensive, expensive (B)cheaper, cheaper (C)expensive, cheaper (D)cheaper, expensive.

(5) A company (NTU Ltd) that has paid a dividend of $4 this year. Assuming a higher growth for the next 3 years at 12% and stable growth of 6% thereafter, let's calculate the value of the stock using a two-stage dividend discount model. The required rate of return is 10%. (A)4.48 (B)5.95 (C)124.33 (D)154.54

110年 - 110 國立臺灣大學_碩士班招生考試_財務金融研究所乙組:財務管理與財金數學(含微分方程、線性代數)#102120