Business risk refers to
1) use of accelerated depreciation
2) the risk inherent in the nature of the business
3) the sources of the firm's finances
A) 1 and 2
B) 1 and 3
C) 2 and 3
D) only 2
Correct Answer:
Verified
Q5: The lower the debt ratio,
A) the higher
Q26: A firm does not obtain financial leverage
Q28: A firm may obtain financial leverage by
1)
Q29: Operating leverage
A) is affected by the demand
Q30: Successful use of financial leverage may
1) increase
Q32: Given the following information, what happens to
Q33: Increased operating leverage is associated with additional
Q34: Increased variability of operating income is associated
Q35: The higher the debt ratio,
A) the lower
Q36: The greater the usage of financial leverage,
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