According to the Liquidity Preference Theory, if short$-$term interest rates are currently

$6\%,$ which of the following statements is NOT correct?

A$.$ A flat yield curve would imply that forward rates are also $6\%.$

B$.$ A rising yield curve would suggest that forward rates are less than $6\%.$

C$.$ The demand for a liquidity premium explains upward sloping yield curves.

D$.$ The liquidity premium compensates investors for taking on the risk of longer$-$term bonds.

E$.$ The liquidity premium refers to the extra return required to take on longer$-$term risk.