Which source of financing has the highest level of risk?
A) common shares
B) subordinated debt
C) preferred shares
D) unsecured debt

Name: Which source of financing has the highest level of risk? A) common shares B) subordinated debt C) preferred shares D) unsecured debt
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Question

Quizplus · Accepted Answer

Common shares carry the highest level of risk among the options provided because shareholders are last in line to be paid in the event of a company's liquidation, after all debts and other obligations have been settled.

Which Source of Financing Has the Highest Level of Risk