Question: IBM's beta is currently 0.59. Which of the following statements regarding IBM's beta are false ? Select all that apply. I. If IBM increases its

IBM's beta is currently 0.59. Which of the following statements regarding IBM's beta are false? Select all that apply.

I.

If IBM increases its leverage its equity beta will likely increase.
II.

If IBM starts investing more in projects with higher market risk its equity beta will likely increase.
III.

If IBM increases its leverage its equity beta will likely decrease.
IV.

If IBM starts investing more in projects with higher market risk its equity beta will likely decrease.

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