Suppose a company borrows $1 million debt to invest in a project that generates uncertain future cash flow (revenue) of 0-$2 million (when debt is due). The debt has to be repaid (interest rate is zero) when the project's cash flow is realized. Assume that renegotiations are allowed and the manager may be allowed to stay if debtholders find it better than firing. Upon renegotiation debt and equity holders have equal bargaining power. Now, instead of 46% bankruptcy cost, if the bankruptcy cost is 90% (with renegotiation and equal bargaining power), how much does COMPANY VALUE changes at $1 million cash flow? -1.0 million (decrease) 1.0 million (increase) 0.0 million (no change) 0.5 million (increase)