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Please solve for all the parts of the question and I will rate your answer with a thumbs up. Thank you! Q2- Company B has

image text in transcribedPlease solve for all the parts of the question and I will rate your answer with a thumbs up. Thank you!

Q2- Company B has financed a large part of its facilities with long-term debt. There is a significant risk of default, but the company still is operating. Explain: 1. Why would Company Bs stockholders could lose by investing in NPV > O project financed by an equity issue. (10 pts.) 2. Why would Company Bs stockholders could gain by investing in NPV

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