Question 5 Use the following information to answer the question: A VND 375,0003% bond is issued to an investor on January 1, 2016 at a price of 95 . The bond matures in 9 years. All of the following are true except: A. At maturity, the investor will receive VND 375,000 from the issuing corporation plus the final interest payment. B. The total cost of borrowing is VND 120,000 . This is the amount reported as interest expense over the life of the bond. C. The yield of this bond is lower than its coupon. D. An investor will pay VND 356,250 to the issuing corporation for this bond. Answer the following 2 questions with this information. Wow PLC is considering a new project. The project requires an initial investment of 2,400,000 and will generate 1,200,000 cash flows for three years (each year). Assume cash flows are net of all taxes and costs. Wow's cost of capital is 10%, however, the project risk opportunity cost of capital is 15%. The risk-free rate is 6%. Question 6 The NPV of the project is A. 339,870 B. 584,222 C. 867,898 D. 1,200,000 Question 7 The payback period is A. More than 2.0 years but less than 3.0 years B. 2.0 years C. 3.0 years D. Not enough information