true or false

In the context of the adjusted present value (APV) model of firm valuation, one major assumption is that firms will have a fixed level of debt in the future.

The business with a net present value (NPV) of a firm equal to $0 is an example of a fairly valued business. (All else equal.)

A company forecast to have negative economic value added (EVA) forever, will be trading at EV/Capital ratio that is smaller than one. (All else equal.)

Discounting free cash flows to equity (FCFE) at the weighted-average cost of capital (WACC) will tend to overstate the true intrinsic value of equity.

In practice, we can find a firm's net profit margin (NPM) by dividing the firm's PS ratio by the firm's PE ratio.