(13 points) Capital structure. An entrepreneur has a good idea. She starts a Company, but that company needs start-up capital (and the entrepreneur doesn't have any) to implement her idea. She can raise money for her project from: bank loans (borrowing money, so that the bank gives her company money but then requires that her company to repay a fixed amount); or from, shareholders (who give her company money in exchange for shares in the company, for ownership of some share of the proceeds of the company after bank loans have been paid off); or, some combination of both. Assume that she considers only capital structures that avoid bankruptcy. (n other words, this is not a question about bankruptcy.) She seeks to raise money in a competitive market for capital with rational banks and shareholders