Use the table for the question(s) below.
Consider the following investment alternatives: 
-Which alternative offers you the highest effective rate of return?
Definitions:
New Stocks
Shares that have been recently issued to the public by a company, often through an initial public offering (IPO).
Bankruptcy
A legal proceeding involving a person or business that is unable to repay outstanding debts, leading to asset liquidation or debt reorganization.
Corporate Tax Rate
Corporate tax rate is the percentage of a corporation's profits that is paid to the government as tax.
Debt Ratio
The portion of assets financed by debt, showing the extent to which a company relies on borrowed funds for its operations.
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