Question 39 (2 points) A bond will trade at a premium when the yield-to-maturity is less than the coupon rate. a) TRUE Ob) FALSE Question 40 (2 points) Which of the following is (are) true? a) If the net present value (NPV) is negative, then the profitability index must be less than zero. b) If the IRR of a project is greater than one (1), then the project should be accepted. c) Under capital rationing conditions, a firm can select all acceptable projects regardless of the initial investment required. d) If two projects are mutually exclusive, selecting one project prohibits the acceptance of the other project. e) None of the above statements are true