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.

[Q]: 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?
[A]: company X.


[Q]: Background Paragraph: A dilution effect is seen when animals living in a group "dilute" their risk of attack, each individual being just one of many in the group. George C. Williams and W.D. Hamilton proposed that group living evolved because it provides benefits to the individual rather than to the group as a whole, which becomes more conspicuous as it becomes larger. One common example is the shoaling of fish. Experiments provide direct evidence for the decrease in individual attack rate seen with group living, for example in Camargue horses in Southern France. The horse-fly often attacks these horses, sucking blood and carrying diseases. When the flies are most numerous, the horses gather in large groups, and individuals are indeed attacked less frequently. Water striders are insects that live on the surface of fresh water, and are attacked from beneath by predatory fish. Experiments varying the group size of the water striders showed that the attack rate per individual water strider decreases as group size increases. 
Story: Kenya's Masai Mara wildebeest migration is one of the greatest spectacles in the natural world. Every year thousands of wildebeests cross the Mara river. John went to see the migration last year. He noticed that the wildebeests crossed the the river in a very large group. He noted that as case A. His guide told him that is not the case in other times of the year. The wildebeests cross the river in smaller groups in other times. John noted that as case B. The guide added that in both cases on thing is constant, they are attacked by the lions. 
Question: In which case an individual wildebeest would get more benfit, case A or case B?
[A]: case A.


[Q]: Background Paragraph: In exercises such as weight lifting, skeletal muscle contracts against a resisting force (see Figure below ). Using skeletal muscle in this way increases its size and strength. In exercises such as running, the cardiac muscle contracts faster and the heart pumps more blood. Using cardiac muscle in this way increases its strength and efficiency. Continued exercise is necessary to maintain bigger, stronger muscles. If you don’t use a muscle, it will get smaller and weaker—so use it or lose it. 
Story: Michael has become bored with his passive life style, and has decided to take up weight lifting as a hobby. He begins to exercise with weights several times a week. Michael's brother, Robert, isn't as motivated as Michael though. Robert decides to continue being mostly inactive and only exercises with weights every couple of months. 
Question: Who will increase the strength of their muscles more?
[A]:
Michael.