Question 7 1 pts The independence hypothesis is one of the theories explaining a firm's capital structure. Which of the following statements is correct concerning this theory? the firm's cost of capital and firm value are not affected by the amount of leverage O the value of the firm decreases as the firm takes on more debt because of the risk of bankruptcy O the firm's value is affected by how much debt the firm uses O the value of the firm increases as it takes on more debt because of the tax deductibility of interest