please answer all questions.

True or False and Multiple Choice writing the calculation may earn you partial credit) Cute dd show C . 1. NYSE is a primary market. 2 Other variables held constant, there is an inverse relation between bond prices and interest rates Other variables held constant, there is an inverse relation between stock prices and interest rates 4. in capital budgeting, one project could solve to have multiple IRRs. 5. When paying cash dividend, the firm's stock price, will as a result drop by the cash amount 6 By DOM, If a company never ever pays any cash dividend in the future, its stock should be worth zero. 7. The fact that such companies as Google, Amazon never paid any dividend but still have value conflicts with DOM 8 Stock price computed in DDM is ex-dividend price, meaning the price right before firm is about to ad d 9 The fact that equity holders are last in line-called residual claimant, curbs the incentives for business Innovation 10. There're two ways to compute current stock price, by discounting EITHER 1) all future expected dividends, OR 2) future expected dividends plus an expected terminal cashflow (when selling the stock). Both are consistent with DOM FENA AESN AN unes-pni (1+r) 11. Which one of the following is the pretax cost of debt? A. Average coupon rate on the firm's outstanding bonds B. Weighted average yield to maturity on the firm's outstanding debt C. Average current yield on the firm's outstanding debt (0) Annual interest divided by the market price per bond for the latest bond issue 12. About payback period, which of the following is CORRECT: (A) The payback rule states that you should accept a project if the payback period is less than one year. B. The payback period ignores the time value of money. C. The payback rule is based in favor of long-term projects. D. The payback period considers the timing and amounts of all of a project's cash flows. 13. Which of the following is NOT correct about bond market: AUS bond market is larger in size (market value) than the stock market B. Bond market is generally less liquid than the stock market. C. Treasury Bills and Treasury Notes are different types of Treasury STRIPS. D. Treasury securities are usually considered free of default risk 14. Limited liability describes a situation where: The responsibility of shareholders for the company's debts is limited to the value of their personal wealth. B. All shareholders must hold a minimum of 20 shares in a company. The responsibility of shareholders for the company's debts is limited to the amount they paid for the shares. All shareholders are equally responsible for all the debts of the company. 15. The market value of an 18-year zero-coupon bond with a maturity value of $1,000 discounted at 12% annual interest rate with semi-annual compounding is closest to: A. $192.86 B. $130.04 (C. $122.74 D. $55.56 16. In capital budgeting, the NPV method is preferred to other alternatives such as PI or IRR. What is the justification (Ay Financial management seeks to maximize firm's profit margin. B. Financial management seeks to maximize firm's market value. (C. Financial management seeks to maximize firm's price-earnings ratio. D. Financial management seeks to maximize firm's ROE. 17. Which of the following statements is NOT correct about Risk and Return? A. Risk/return trade-off says higher (lower) risk is associated with higher (lower) average return. (B. Risk-adjusted rate of return used in DDM is adjusted such that it contains no risk