False QUESTION 7 Rest Haven has $150.0 million in ten-year bonds, bearing a coupon rate of 12 5% outstanding. The current market rate for these bonds is 6.8%. The corporate treasurer has been given a directive by the Board of Directors to ascertain the savings of refinancing this issue of bonds. Jim, a crack financial analyst who works for the treasurer, has provided a list of information, which is provided below. Decide which of these items is relevant to the refunding decision. Hint: Treat like a capital budgeting decision. O A. Present value of outflows from refunding. O B. Present value of inflows from refunding O C. Rest Haven's weighted average cost of capital. O D. The net difference of the inflows when compared to the outflows O E. Present value of outflows from refunding and Rest Haven's weighted average cost of capital. O F. All answers are correct. QUESTION 8