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If the risk-free rate increases, which of the following are possible outcomes for a company's interest rate (or the discount rate applied to its future cash flows)? ( a) increases O b) decreases O c) remains the same O d) all the above QUESTION 24 3 points Save Answer The U.S. Treasury just issued a 20-year bond at par. Is it possible for Jaqueline Wigs, Inc. to issue a 20-year bond at par? a) Yes, if its coupon rate is high enough above that of the Treasury's b) Yes, if its coupon rate is low enough below that of the Treasury's c) Of course, because its yield-to-maturity is lower than that of the Treasury d) Of course not, dummy! QUESTION 25 3 points Save Answer A business begins with $1,000,000 from its owners. It intends to reach a leverage ratio of 3. How much does it expect to borrow? Q a) $4,000,000 b) $3,000,000 O c) $2,000,000 O d) $1,000,000