Question: A company is trying to decide between issuing debt and equity to fulfill a funding need. What in theory should happen to the return required

A company is trying to decide between issuing debt and equity to fulfill a funding need. What in theory should happen to the return required by equity holders if it chooses (a) debt and (b) equity.

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\ table [ [ , Returns ] , [ Year , x , Y , ] , [ 1 , 1 9 % , 1 5 % , ] , [ 2 , 2 2 , 3 4 , ] , [ 3 , 8 , 1 4 , ] , [ 4 , - 1 5 , - 2 0 , ] , [ 5 , 1 0 , 2 4 , ] ] Using the returns shown above,...