If a Firm with Risky Debt Outstanding Pays a Large

If a firm with risky debt outstanding pays a large cash distribution, the value of the bonds:

A) will be unaffected as payment is to the stockholders.
B) will increase because the value of the call options increases.
C) will increase because the value of the call option decreases.
D) will decrease because the value of the put option will decrease.
E) will decrease because the value of the put option will increase.