Which of the following statements is incorrect?

A) With the international capital budgeting process, if a firm is located in a country with a relatively unstable political environment, management will require a higher rate of return on capital projects as compensation for the additional risk.

B) When a U.S. bank in Chicago gives a quote of 0.5089/$, it is an indirect quote.

C) The spot rate is the cost of buying a foreign currency today, on the spot.

D) All the answers are correct except one.

E) The forward rate is the exchange rate at which one currency can be converted to another immediately.