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Question 1 0.4 pts If interaction effects make it difficult for a firm to adjust its capital structure based on prevailing conditions, then o the

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Question 1 0.4 pts If interaction effects make it difficult for a firm to adjust its capital structure based on prevailing conditions, then o the firm should use more equity financing than is necessarily optimal today O the firm should choose the capital structure that will minimize all transaction costs--both direct and indirect O the firm should use as much debt financing as possible when it is financially healthy in order to benefit from lower corporate taxes o the firm should target a 50% debt/50% equity capital structure

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