Question 13 (4 points) Listen Which of the following actions are associated with a flexible short-term financial policy? I high investments in marketable securities II- minimal credit sales III- large inventory holdings IV- high level of accounts payable 1) I and Ill only 2) II and III only 3) I and IV only 4) Ill and IV only Question 14 (4 points) Listen M&M Proposition I with tax states that: O 1) a firm's cost of equity increases as the debt-equity ratio of the firm decreases 2) a firm's weighted average cost of capital decreases as the firm's debt-equity ratio increases 3) the value of unlevered firm is equal to the value of a levered firm plus the ) value of the interest tax shield. O4 A firm's cost of capital is the same regardless of the mix of debt and equity used by the firm