Question 16 3 pts Which is TRUE? When interest rates are low, avoid issuing bonds, instead issue stocks In bull market, stocks are ideal for raising funds To make managers more disciplined and focused, issue stocks for financing Use new issue of common stocks rather than use up retained earnings Question 17 3 pts When corporate tax rate Tc increases, the value of tax shield for debts of a levered firm V. decreases O remains the same increases Question 18 3 pts Among he four choices given to you, Which ONE should you MAXIMIZE? Earnings per share (EPS) Required Return on Equity O Net Income O Price of Stock Question 19 3 pts Which risk offers the MOST reward to a firm? Financial risk Business risk O investment in risk-free assets