TRUE or FALSE 1. Insider information has some value under the semi-strong form of Efficient Market Hypothesis. 2. . The reason why we should consider NWC for the project evaluation is mainly to wellalign the difference between the accounting records in the pro-forma income statement (based on Accrual basis) and actual cash flows (based on Realization basis). 3. . Financial distress cost exists in the firm, even in the case that the firm does not actually go into bankruptcy. 4. . In the efficient capital market with corporate taxes and bankruptcy costs, when the equitydebt (D/E) ratio increases, the firm's WACC decreases and then increases again after some point