M&M Proposition II$,$ without taxes, is the proposition that:

Multiple Choice

the cost of equity is equivalent to the required rate of return on assets.

a company's cost of equity is a linear function with a slope equal to $($RA $$ RD$).$

the cost of equity depends on the return on debt, the debt$-$equity ratio, and the tax rate.

the size of the pie does not depend on how the pie is sliced.

the capital structure of a company has no effect on that company's value.