Which of the Following Statements Is NOT True

Multiple Choice

Which of the following statements is NOT true?

A) If new equity shares are issued at a fair price then the existing shareholders should not suffer a negative impact.
B) Issuing equity automatically hurts existing shareholders.
C) If a firm takes on a positive NPV project financed with new equity,existing shareholders will benefit.
D) The cash flows from a new project should cover the return on new shares issued to pay for the project if the IRR exceeds the required rate of return.