which of the following

Which of the following statements concerning capital structure theory is false? Under MM with zero taxes, financial leverage has no effect on firm value. For a given B/S, the levered cost of equity under MM's original (without tax) assumptions is less than the levered cost of equity under MM's with tax assumptions. Under MM with taxes, raising a company's debt ratio will always increase the company's cost of equity. The cost of capital for an unlevered firm, Rwacc, in a zero tax environment is equal to the cost of capital for a levered firm