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Identify the statement that is incorrect

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Reference no: EM132658121

Problem 1: Identify the statement that is incorrect

A. Higher financial leverage involves higher risk.

B. Risk is higher if a company has more assets.

C. Risk is higher if a company has more liabilities.

D. Lower financial leverage involves lower risk.

E. The debt ratio is one measure of financial risk.

Reference no: EM132658121

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