Which of the following is false: Multiple Choice Interest earned on Treasury bonds is exempt from State income taxes. The sustainable growth rate is the maximum rate of growth for a firm that can be maintained without increasing the firm's financial leverage. O O O There is only one growth rate for a firm that does not issue new equity and its dividend policy, profit margin and fixed asset turnover ratios are all fixed. O The reinvestment approach of the modified internal rate of return, compounds all cash flows, except the initial cost, out to the end of project's life and then calculates the IRR. As a lender of money, I would prefer to offer borrowers a rate of 15% compounded daily than a rate of 16.5% compounded quarterly