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Define financial risk

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Reference no: EM132949342

1. Why do investors generally care whether the IRS classifies cash expenditures as operating expenses rather than capital expenditures?

2. Answer the following questions on financial leverage, value, and return:

a) Define financial risk.

b) Why or why not should the investor select the origination LTV that maximizes the IRR on equity

Reference no: EM132949342

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