The tradeoff theory of capital structure with tax and bankruptcy costs advocates that the optimal capital structure for a firm: a. Equates WACC and the after-tax cost of debt because debt is always cheaper. b. Remains fixed over time. c. Is independent of the firm's tax rate. d. Is independent of the firm's debt-equity ratio. e. Equates the tax savings from an additional dollar of debt to the increased bankruptcy costs. The tradeoff theory of capital structure with tax and bankruptcy costs advocates that the optimal capital structure for a firm: a. Equates WACC and the after-tax cost of debt because debt is always cheaper. b. Remains fixed over time. c. Is independent of the firm's tax rate. d. Is independent of the firm's debt-equity ratio. e. Equates the tax savings from an additional dollar of debt to the increased bankruptcy costs