Which of the Following Statements Is True

Which of the following statements is true?

A) If a firm has a project that management believes will be very successful, management is more likely to finance the project with debt financing than with new equity.
B) Issuing new equity is a positive signal to investors.
C) Issuing debt is a negative signal to investors.
D) If a firm has a project that management believes will be very successful, management is more likely to finance the project with equity than with debt.