Which of the following statements are correct about Modigliani and Millers propositions with taxes?

A. A firm's weighted average cost of capital stays constant as the firms debt-equity ratio increases.

B. The value of an unlevered firm is equal to the value of a levered firm plus the value of the interest tax shield.

C. The capital structure of a firm does not matter for firm value because investors can create homemade leverage.

D. The value of a firm increases as the firm's debt increases because of the interest tax shield.

E. Modigliani and Millers propositions with taxes and without taxes both imply that the firms cost of equity should be increasing in the debt-equity ratio.

F. The firms weighted average cost of capital is equal to r_U(1-T_c) where r_U is the firms unlevered cost of capital and T_c is the firms corporate tax rate.

Group of answer choices

A and C only

B and D only

D and E only

D, E, and F only