Answer True or False:If a statement is not strictly true, then it is False.___ ___The yield to maturity on a bond is different than the IRR for zero coupon bonds.____ ____Payback is generally a better capital budgeting tool than IRR.____ ____The depreciation tax shield is a cash flow.____ ____If people feel more patient, bonds are more attractive and should give better returns._______Firms that are expected to have high dividend growth in the future are likely to have a high price-to-earnings ratio._______Cash flows and earning are usually interchangeable for capital budgeting purposes.______Capital gains are not real cash flows because they create a tax shield/loss._______Firms should always exercise an option to delay investment unless the NPV<0.___ ____Standard IRR is just a special case of the modified IRR.___ ___DCF analysis is the only way to value private firms.

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True Yield to Maturity YTM considers the bonds price coupon payments if any and time to maturity to determine the internal rate of return IRR an inves... View the full answer