Question: From the list below, select 2 statements that are correct A firm's weighted average cost of capital depends on the amount of debt, when the

From the list below, select 2 statements that are correct

A firm's weighted average cost of capital depends on the amount of debt, when the firm pays taxes.

The higher the ratio of debt to equity in a firm's capital structure, the higher the risk to the stockholders

"Miller and Modigliani Proposition 2, with taxes" says that unlevered firm value is lower than levered firm value

Stockholders can replicate the effect of a firm that has debt, by buying shares of an all-equity firm and simultaneously lending money

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