QUESTION 13 Using the Modigliani-Miller (MM) theory in a perfect market, you can identify a current situation in the market as follows. ABC Industries and XYZ Technology have identical assets that generate identical cash flows. ABC Industries is an all-equity firm, with 15 million shares outstanding that trade for a price of $20 per share. XYZ Technology has debt of $100 million as well as 20 million shares outstanding that trade for a price of $12 per share. To exploit this current situation for a risk-free profit, you understand that you can use homemade leverage and should take the following transactions: O A Buy ABC Stock; Sell XY2 Stock; and Lend OB. Buy ABC Stock: Sell XYZ Stock; and Borrow OC.Sell ABC Stock: Buy XYZ Stock and Borrow OD.Sell ABC Stock: Buy XYZ Stock; and Lend