Which of the following is incorrect? i. The rate required in the market on a bond is the yield to maturity.
ii. Compounding the interest means earning interest on interest.
iii. External equity and dividends can be used as plug variables in a financial plan
iv. There are two primary mechanisms for electing directors: cumulative voting and straight voting.
v. A financial plug variable is associated with internal financing needed to deal with any shortfall or surplus in financing and thereby bring the balance sheet into balance.