1. Student loan that totals $50,000 at graduation. The annual interest rate is 6%, and there will be 72 monthly payments beginning 1 month after graduation. What is the monthly payment? What is owed after the first 3 years of payments? Show all work by hand.
2. JMP had a FCFE of $1.6M last year and has 3.2M shares outstanding. JMP's required return on equity is 12% and WACC is 9.8%. If FCFE is expected to grow at 9% forever, the intrinsic value of a share of JMP stock is ___________.