2 Which of the following statement(s) is false? I. A valuation model is not an objective search for true value. II. A good valuation provides a precise estimate of value. III. The more quantitative a model, the better the valuation. IV. Discounted cash flow valuation is always better than relative valuation. A. II, III & IV. B. I, II, III & IV. C. I & IV. 3. The Hong Kong government bond rate in HKD on January 1, 2018 was 7%. The sovereign CDS spread is 3.5% for Hong Kong and 1% for the US. Assuming that the US is default free. Estimate the risk-free rate in HKD. A. 3.5% B. 4.0% C. 4.5%