Which of the following statement is incorrect? a. Most of the answers are correct. b. A...

Which of the following statement is incorrect?

a. Most of the answers are correct.

b. A firm’s capital is supplied by its creditors and owners.

c. We need to earn at least the required return to compensate our investors for the financing they have provided.

d. The yield to maturity is the discount rate that makes the present value of coupon and principal payments equal to the price of the bond.

e. A bond has a coupon rate of 6 percent and the bond makes semiannual coupon payments. The dollar amount of coupon interest received every six months is $60.

Expert Solution

jeff jeffy answered 2 years ago

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