Which of the Following Statements Is Incorrect

Which of the following statements is incorrect?

A) A company with access to global capital markets should use a global market index instead of a purely domestic index to reflect the greater diversification potential of international markets.
B) The assumption that all companies in an emerging market nation have the same cost of equity is not unreasonable because of the lack of sophistication of investors.
C) The so-called euromarket, or the international market for financial securities (both debt and equity) , should be more integrated than any domestic capital market because it spans many highly developed countries.
D) The country-spread approach for estimating the cost of equity adjusts the beta to reflect that the market return variance (or standard deviation) is likely to be different than the equivalent number for the U.S. market.