Variations in operating income over time because of variations in unit sales,price,cost margins,and/or fixed expenses are called:
A)interest rate risk
B)exchange rate risk
C)purchasing power risk
D)financial risk
E)none of the above

Question

Quizplus · Accepted Answer

The variations in operating income due to changes in sales, prices, costs, and expenses are typically referred to as "business risk" or "operating risk," not any of the options listed.

Variations in Operating Income Over Time Because of Variations in Unit