A firm with higher business risk should have the financial, Financial Management

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A firm with higher business risk should have the financial

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

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Financial Management: A firm with higher business risk should have the financial

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Financial Management: A firm with higher business risk should have the financial

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