What Are Some of the Possible Consequences of Financial Distress

What are some of the possible consequences of financial distress?

A) Bondholders, who face the prospect of getting only part of their money back, will likely want the company to take additional risks.
B) Equity investors would like the company to cut its dividend payments to conserve cash.
C) Equity investors would like the firm to shift toward riskier lines of business.
D) Bondholders, who face the prospect of getting only part of their money back, will likely want the company to take additional risks; and equity investors would like the company to cut its dividend payments to conserve cash.