please answer what can I choose and why

Question 29 1 pts Company AA and Company BB have identical Assets, Revenues and Ebit. They are in the same line of business. Company AA has a Debt/Capital ratio of 0, while Company BB's ratio is 75%. Company BB pays a low interest rate, and both company's pay the same income tax rate. During good, protable years, which company probably has the highest Net Income and why? Choose a company and one reason. C] CompanyAA C] Because it has no debt interest expense C] Because it benets from the tax shield effect. C] Because it made smarter capitalization decisions. 0 Company BB C] Because it has higher operating cash ow. Company AA and Company BB have identical Assets, Revenues and Ebit. They are in the same line of business. Company AA has a Debt/Capital ratio of 0, while Company BB's ratio is 75%. Company BB pays a low interest rate, and both company's pay the same income tax rate. During good, protable years, which company probably has the highest ROE and why? Choose a company and one reason. C] Because of its reduced Equity, its low interest rate and the tax shield effect. C] Because of its larger Equity, its low interest rate and the tax shield effect. C] Because it has higher operating cash ow. E] Company AA. E] Company BB. C] Because of its operating leverage