Which of the Following Factors Favor the Issuance of Equity

Multiple Choice

Which of the following factors favor the issuance of equity in the financing decision?
I.Market signaling
II.Distress costs
III.Management incentives
IV.Financial flexibility

A) I and II only
B) I and III only
C) II and IV only
D) II, III, and IV only
E) I, II, and IV only
F) None of the above.