Which of the following statements is true for an all-equity firm?

a.When Return on Equity is less than the cost of equity, management is adding value to the firm.

b.When Return on Equity is greater than the cost of equity, management is decreasing the firm's value.

c.When Return on Equity is equal to the cost of equity, management is neither increasing nor decreasing the firm's value.

d.None of the above are true.