1. What is the price of an n-year bond selling a par if the annual coupon payment is $30?

Select one:

a. It cannot be determined because the coupon rate is missing.

b. It cannot be determined because the yield to maturity, the bonds maturity, and the coupon rate are missing.

c. $1,000

d. It cannot be determined because the maturity (n) of the bond is unknown.

e. It cannot be determined because the yield to maturity is missing.

2. A project with a positive NPVGO implies that its expected return is greater than the discount rate.

Select one:

True

False

3.The IRR of return is a good measure for selecting mutually exclusive projects with same useful life as long as their cash flows have one change of sign.

Select one:

True

False