T F 5. Moody's and Standard and Poor's dont consider interest rate risk, but rather default risk, when they rate debt.

T F 6. Two projects that are mutually exclusive are said to not be independent.

T F 7. Unsystematic risk is a type of risk that influences all assets to a greater or lesser degree.

T F 8. For the purpose of estimating the firm's cost of capital, one can look only at the coupon rate on the firm's existing debt.