All else being equal, when the level of debt increases, ______________________________________________________.

		The cost of debt increases, the cost of equity increases and WACC decreases
		The cost of debt increases, the cost of equity decreases and WACC decreases
		The cost of debt increases, the cost of equity increases and WACC increases
		The cost of debt increases, the cost of equity decreases and WACC increases
		Not enough information to answer