Manta Lasers Co., a mid-sized tech manufacturer specializing in precision laser equipment, has spent the past two years in R&D developing a new, highly efficient industrial laser designed for use in surgical manufacturing and aerospace applications. Based on successful prototype testing and positive early interest from potential clients, the company is now considering moving forward with production.The required upfront investment for production and launch is $1,005,000.Drawing from historical data and market analysis, the firm has forecasted the following annual free cash flows from the project over the next six years (after all operating and capital expenses):Year 1 to Year 6: $200,000, $250,000, $275,000, $300,000, $350,000,  and $400,000. If the company’s cost of capital is 10.25%, what is the Net Present Value (NPV) of this investment? Hint: Enter your answer rounded to two decimal places.

Highland Courier Co. is a premium magical delivery service that specializes in secure, high-speed transport of rare goods—like spell scrolls, enchanted herbs, and royal messages—across the mountainous kingdoms. The company is planning to invest in a new griffin-powered delivery fleet, which will cost $7,625,000 upfront, including training, saddles, and a lifetime supply of enchanted salmon feed.The company projects that the griffin fleet will generate stable annual cash flows of $1,850,000 over the next 6 years, after accounting for all expenses, including griffin care, flight permits, and beak polishing. What is the internal rate of return (IRR) for this investment? Hint: Enter your answer rounded to two decimal places.

Which of the following are not considered a part of the firm’s capital structure?

Dragon Flights Ltd. is a premium adventure tourism company known for offering high-flying dragon rides across volcanic mountains and ancient kingdoms. To expand its elite fleet, the company is considering the purchase of a new fire-breathing dragon, specially bred for long-haul flights and crowd-pleasing aerial acrobatics.The initial investment required for acquiring, training, and outfitting the dragon is $8.1 million.Based on projected bookings and merchandise sales, the company expects the dragon to generate $1.5 million in net cash flow in its first year of operation. After that, thanks to growing popularity and ticket price hikes, cash flows are expected to grow by 4.55% annually.Dragons in commercial use typically remain flight-worthy for 6 years, after which they retire to the Royal Dragon Preserve. If the cost of capital is 14.13%, what is the Net Present Value (NPV) of this legendary investment? Hint: Enter your answer rounded to two decimal places.

The term ___________ refers to the fact that these cash flows reflect the amount by which the firm’s total after-tax free cash flows will change if the project is adopted.

Using the WACC to evaluate all projects has the effect of making low-risk projects look MORE attractive and high-risk projects look LESS attractive.

Dragon Flights Ltd. is a premium adventure tourism company known for offering high-flying dragon rides across volcanic mountains and ancient kingdoms. To expand its elite fleet, the company is considering the purchase of a new fire-breathing dragon, specially bred for long-haul flights and crowd-pleasing aerial acrobatics.The initial investment required for acquiring, training, and outfitting the dragon is $7.9 million.Based on projected bookings and merchandise sales, the company expects the dragon to generate $1.5 million in net cash flow in its first year of operation. After that, thanks to growing popularity and ticket price hikes, cash flows are expected to grow by 4.3% annually.Dragons in commercial use typically remain flight-worthy for 6 years, after which they retire to the Royal Dragon Preserve. If the cost of capital is 13.43%, what is the Net Present Value (NPV) of this legendary investment? Hint: Enter your answer rounded to two decimal places.

Near the start of the chapter, our authors mention that building resilience takes practice.  AND much like athletes or those starting a new exercise program, it requires some key qualities___________.

We listened to an interview with Dr. Dennis Charney where he related an experience that built resilience for him.  He survived an attempted murder when:

Essay Item (4 points possible):  I hope that you enjoyed our guest speaker (Tony Paglia) and his discussion of the Flash therapy technique.  Thinking of his presentation and/or the short paper that I distributed to the class before his visit, tell me some things that you learned about the Flash Technique.  For example, what is the main purpose of Flash?  In what way is Flash considered low intensity compared to other trauma therapies?