A company needs $225,000 to fund a new project next year. The firm expects to earn excess cash of $50,000 this year after all expenses, taxes, and dividends are paid. The firm can borrow up to $150,000 at 6.5 percent interest for up to ten years or, it can issue up to 25,000 new shares of stock that will have an estimated value of $20 a share at the end of this year. According to the pecking- order theory, how much will the firm raise in new equity capital to fund this project? $225,000 $25,000 $0 $175,000