8) Which of the following statements are false?

I. In general, investors buy Growth Stocks mainly because of capital gains expectations, and are interested in future earnings growth instead of short-term dividends.

II. The Free Cash Flow model estimates the market value of equity by computing the present value of expected future dividends.

III. When the company generates a return on capital greater than the performance required by the shareholders then the company must have a negative PVGO.

IV. According to the discounted dividend valuation model, if the ratio EPS1/P0 decreases, then necessarily the firm is investing in new projects with a return lower than the market capitalization rate.

V. According to the discounted dividend valuation model with constant growth, the market capitalization rate is equal to the Dividend Yield plus the expected rate of capital gains (Capital Gains Yield).