In financial management, risk is referred to as the:
A) environmental factors that may affect a business adversely.
B) internal factors that may disrupt the smooth functioning of a company.
C) degree of uncertainty about the actual outcome of a decision.
D) various strategies implemented by managers to increase returns.

Question

Quizplus · Accepted Answer

Risk in financial management is defined as the degree of uncertainty regarding the actual outcome of a decision, which can affect the expected returns or performance.

In Financial Management, Risk Is Referred to as The