Suppose a firm relies exclusively on the payback method when making capital decisions, and sets a 4 year payback of economic conditions. Others things held constant which of the following statements is most likely to be true? a. It will accept too many long-term projects and reject too many short-term projects (as by the NPV). b. If the 4-year payback results in accepting just the right set of projects under average economic conditions, then this payback will c. The firm will accept too many projects in all economic states because a 4-year payback too low. d. The firm will accept too few projects in all economic states because a 4-year payback is too high e. It will accept too many short-term projects and reject too many long-term projects (as judged by the NPV.) Carby Hardware has an outstanding issue of perpetual preferred stock with an annual dividend of $7.50 per share If the required return on this preferred stock is 6.5% at what price should the stock sell/a. $115.38 b. $112.50 c. $106.95 d. $109.69 e. $104.27