Question 29 (1 point) With regards to capital structure decision, which one of the following statements concerning financial leverage is correct in a world without taxes? EPS is decreased when leverage is used and the expected level of EBIT is achieved. Financial leverage is irrelevant to the value of a firm. Leverage is beneficial only when EBIT is relatively low. Financial leverage lowers the risk level of a firm. The amount of financial leverage employed has a major effect on the value of the firm