Which of the following statements is$/$are true with respect to bankruptcy costs? $1.$ These costs represent certain restrictions on the firm in the form of some prospective covenants incorporated in the loan contract. $11.$ These costs represent a loss, which can be easily diversified away. III. The probability of bankruptcy increases at an increasing rate as the debt$-$equity ratio increases. IV$.$ Expected cost of bankruptcy increases as debt$-$equity ratio decreases. $($a$)$ Only $(1)$ above $($b$)$ Only $($III$)$ above $($c$)$ Both $(1)$ and $($III$)$ above $($d$)($II$),($III$)$ and $($IV$)$ above $($e$)$ All $(1),($II$),($III$)$ and $($IV$)$ above.