Which of the following statements is NOT true? The higher the risk, the higher should be the rate of return. A negative NPV implies that the investment earned the required rate of return and indicates a good signal. The hurdle rate and the discount rate are relatively similar. The payback period is the ONLY tool a firm needs to use. Both B \& D Capital investment projects can be used for New equipment IT investments Plant expansions Automated manufacturing sytems All of the above Blueberry Hill Pie Company evaluated several capital budgeting techniques used in the decision to purchase another plant. The payback period was 3 years, the ARR was 15% and its hurdle rate was 10%. The Net Present value (NPV) was positive at $1,500, the IRR was 18% and the profitability index was 2.0. Based on these results, the company shoud tgnore the investment Accept the investment Wait 5 more years before making an investment decision. Not enough information for making an investment decision