Please indicate weather each once increases, decreases, or has no effect to receive full credit for number 1:

A) The WACC will _____ if a firm increases the debt in its capital structure relative to the amount of equity

B) A rise in forecasted bad debt expense will _____ cash if cash is used as the plug to balance the forecasted balance sheet

C) Estimates of firm values using residual operating income will ______ if a firm is conservative and estimates a lot of restructuring expenses