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Business Risk Is Affected by a Firm's Operations

Question 2

Multiple Choice

Business risk is affected by a firm's operations. Which of the following is NOT associated with (or does not contribute to) business risk?


A) Demand variability.
B) Sales price variability.
C) The extent to which operating costs are fixed.
D) The extent to which interest rates on the firm's debt fluctuate.
E) Input price variability.

Correct Answer:

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