Please explain why the below answer is correct. Thank you

Please explain why D is correct answer.

Which of the following statements about annuity due and ordinary annuity is true?

Selected Answer:	FV of annuity due = (FV of ordinary annuity) / (1+i)
Answers:	FV of annuity due = (FV of ordinary annuity) / (1+i)
	FV of ordinary annuity = (FV of annuity due) * (1+i)
	PV of ordinary annuity = (PV of annuity due) * (1+i)
	PV of annuity due = (PV of ordinary annuity) * (1+i)

Q2

Which of the following statements about sinking fund is true?

ANS: Sinking fund provision facilitates the orderly retirement of the bond issue.

Why this is the correct answer?

Q3

Which of following bonds have the largest default risk?

Ans: Junk bonds.

Q4

Nothing is riskless. Long-term bonds have higher interest rate risk and lower reinvestment rate risk than short-term bonds

Ans True .

Q5

Which of following statements is not correct?

Since managers are agents of shareholders, their goal should be stock price maximization.

Answers:

Inflation expectations and investor risk aversion can affect stock prices.

Company-specific risk and the change of dividend growth rate g can affect stocks prices.

Since managers are agents of shareholders, their goal should be stock price maximization.

Common stock represents ownership and ownership implies control, so stockholders directly elect directors and hire top management. (this is correct answer)