A firm with higher business risk should have

Assignment Help Financial Management

Reference no: EM131361859

1. The financial risk is the

A) fluctuations in revenue due to bad financial conditions

B) volatility of operating income

C) non-payment of dividend to shareholders

D) additional risk to shareholders as a result of using debt

2. A firm with higher business risk should have

A) lower level of equity

B) higher level of debt

C) more assets with fixed costs

D) lower level of debt

Reference no: EM131361859

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