Zymase is a biotechnology start-up firm. Researchers at Zymase must choose one of three different research strategies. The payoffs (after-tax) and their likelihood for each strategy are shown below. The risk of each project is diversifiable.

a. Whith project has the highest expbcted payofn? b. Suppose Zymaseihas debt of 330 milion due at the time of the projects payoff. Which strategy has the highent expected payof for enuity holdera? 6. Suppose Zymane hat debt of 5120 million due at the time of the projects payot. Which strateoy has the highest expected payoff for equily holders? d. If management chooses the strategy that maxime os the phyofl to equily holders, what is the oxpected agency cost to the firm teom having S30 millon in dobe due? What is the expected agancy coit to the firm from having 5120 million in debt due? a. Which project has the highest expected payoff? (seloct the best choice below.) A. ProjectiA 8. Project s C. Project C a. Which project has the highest expected payofl? b. Suppose Zymane has dobt of $30 million due at the time of the projects payot. Which strategy has the highest expected payolf for equily hoiders? c. Suppose Zymase has debt of $120 million due at the time of the projects payoft. Which strategy has the highest expected poycel for equity holders? d. If management chooses the strategy that maximizes the payoff to equity holdecs, whit is the expected agency cost to the firm from having $30 million in debt sue? What is the eupected agancy cost to the firm from having $120 million in debt due