Which of the following statements is NOT A. Higher risk is usually associated with higher return. nd Return? B. Risk-adjusted rate of return used in DDM is adjusted suc c. Facebook zero-coupon corporate bond must sell at a lower pri ave the same face value and same maturity. than equivalent treasury STRIPS, assuming thev D. The discount rate used in DDM is higher than treasury spot rate. An investor purchases the bonds of JD Corp., which pay an annual coupon o annual yield to maturity of 7%. The bonds will most likely be selling at: A. A discount B. A premium C. Par 8. D. depends on market price About capital budgeting methods, which statement is NOI correct? A. A shorter payback period is preferred over a longer payback period B. If the IRR exceeds the required return, the profitability index will be greater than 1.0 . The net present value is computed using IRR. . If a project generates a return that is equal to the required return, the project's NPV will be zero. hich of the following statement about risk is NOT correct? Diversifiable risk, asset-specific risk and unique risk are synonyms to unsystematic risk Decrease in corporate tax rates is an example of systematic risk higher total risk is compensated with higher average (expected) return A firm's warehouse fire is an example of unsystematic risk The hond matures in th