Which of the following is NOT an implication of the pecking order theory of capital structure?

	a.	On average, a firm's stock price drops when it announces an equity issue.
	b.	Firms may want to maintain a reserve of cash or unused borrowing capacity.
	c.	More-profitable firms (all else equal) should have higher debt ratios.
	d.	Firms may fail to undertake positive-NPV projects if they would have to be financed with a new issue of equity.