You are given a background paragraph that describes one or more causal or qualitative relationships such as a relationship in economics or a scientific law and a story that makes use of the concepts or the relationship described in the provided paragraph. You are also given a question about the story that requires an understanding of the relationship described in the background paragraph and the story. You need to come up with an answer to the given question; the answer will be a span from either the question or the story. In order to correctly answer the given question, you need to understand the relationship mentioned in the background paragraph and should be able to use it to understand that in the story. Your answer can not consist of any word that is not mentioned in any of these: the background paragraph, the story, or the question. You can directly copy and paste a span from the story or the question while answering the given question.
--------
Question: Background Paragraph: The trade-off theory of capital structure is the idea that a company chooses how much debt finance and how much equity finance to use by balancing the costs and benefits. The classical version of the hypothesis goes back to Kraus and Litzenberger[1] who considered a balance between the dead-weight costs of bankruptcy and the tax saving benefits of debt. Often agency costs are also included in the balance. This theory is often set up as a competitor theory to the pecking order theory of capital structure. A review of the literature is provided by Frank and Goyal.[2]

An important purpose of the theory is to explain the fact that corporations usually are financed partly with debt and partly with equity. It states that there is an advantage to financing with debt, the tax benefits of debt and there is a cost of financing with debt, the costs of financial distress including bankruptcy costs of debt and non-bankruptcy costs (e.g. staff leaving, suppliers demanding disadvantageous payment terms, bondholder/stockholder infighting, etc.). The marginal benefit of further increases in debt declines as debt increases, while the marginal cost increases, so that a firm that is optimizing its overall value will focus on this trade-off when choosing how much debt and equity to use for financing. 
Story: Company X stopped taking on more debt, and decided to file for bankruptcy, while company Y, kept benefiting from the tax benefits of debt, having a lower debt level. 
Question: Which company discharged more debt, company X or company Y?

Answer: company X.


Question: Background Paragraph: In the U.S., the majority of electricity is produced by burning coal or other fossil fuels. This causes air pollution that harms the health of living things. The air pollution also causes acid rain and contributes to global warming. In addition, fossil fuels are nonrenewable resources, so if we keep using them, they will eventually run out. The main advantage of nuclear energy is that it doesn’t release air pollution or cause the other environmental problems associated with the burning of fossil fuels. On the other other hand, radioactive elements are nonrenewable like fossil fuels and could eventually be used up. 
Story: Thorn county used fossil fuels for their energy needs, while Plant county used nuclear power. They both polluted the environment in different ways. 
Question: Which county released more air pollution?

Answer: Thorn.


Question: Background Paragraph: A mycorrhiza (Greek for "fungus roots") is a symbiotic association between a fungus and the roots of a plant. In a mycorrhizal association, the fungus may colonize the roots of a host plant by either growing directly into the root cells, or by growing around the root cells. This association provides the fungus with relatively constant and direct access to glucose, which the plant produces by photosynthesis. The mycelia of the fungi increase the surface area of the plant’s root system. The larger surface area improves water and mineral nutrient absorption from the soil. 
Story: Two friends studied permaculture together. Bill studied about mycorrhiza, while Red studied about hugel kultur. 
Question: Which friend learned less about fungus colonizing the roots of a host plant by growing around the root cells?

Answer:
Red.