________ is the risk that is reflected in fluctuations of the firm's cash flows before considering any debt financing.
A)Systematic risk
B)Business risk
C)Financial risk
D)Diversifiable risk

Question

Quizplus · Accepted Answer

Business risk is the risk that is associated with the operations and cash flows of the firm. It is reflected in the fluctuations of the firm's cash flows before considering any debt financing. This risk is caused by factors such as competition, technological changes, and changes in consumer preferences, and cannot be eliminated through diversification.

________ Is the Risk That Is Reflected in Fluctuations of the Firm's