Which of the following statement concerning the "payback method" is false? Select one: O A. It does not consider the time value of money. O B. It considers cash flows after the payback has been reached. O C. It does not use discounted cash-flow techniques. OD. It may not lead to the same decision as other investment selection methods. Which of the following is true concerning right-of-use assets in a lease agreement? 1 Select one: O a. Right-of-use assets require the leased asset and the corresponding lease liability to be recorded on the lessee's balance sheet. O b. Right-of-use assets are considered to be straightforward rental assets rather than capitalized assets. O c. Right-of-use assets are recorded on the lessee's balance sheet using a value determined by the internal rate of return. O d. Right-of-use assets do not qualify for depreciation on the lessee's books over the lease term. As market interest rates prices of bonds trading in the bond market Select one: O A. rise, rise O B. rise, decline O C. decline, decline O D. Bond prices usually don't change when market interest rates change Old and Young, Inc. is issuing new corporate bonds. On the day the bonds are issued, which of the following will be true? Select one: O A. The higher the credit rating on the bonds, the higher the coupon rate of interest that the bonds must pay O B. The lower the credit rating on the bonds, the lower the coupon interest rate that the bonds must pay O C. The higher the credit rating on the bonds, the lower the coupon interest rate that the bonds must pay O D. The higher the credit rating on the bonds, the more likely the bonds will sell at a premium to par value Which of the following represents the priority of claims (highest to lowest) against a firm's assets? Select one: O A. Debentures, secured bonds, preferred stock, common stock O B. Preferred stock, secured bonds, debentures, common stock O C. Common stock, secured bonds, debentures, preferred stock O D. Secured bonds, debentures, preferred stock, common stock