20-04 fill in the table

Fill in the table using the following information. Assets required for operation: $5,600 Case A-firm uses only equity financing Case 8 firm uses 35% debt with an 8% interest rate and 65% equity Case C-firm uses 50% debt with a 10% interest rate and 50% equity If the answer is tero, enter " 0 ", Round your answers for monetary values to the nearest cent. Round your answers for percentage values to one decimal place. What happens to the retum on the stockholder' equity as the amount of debt increases? Why did the rate of interest increases in case C? The return on stockholders' equity as the firm becomes liseict o: financialiv leveraged. The rate of interest increase in case C due to the - sieiect o in the financial risk