The figure given below shows the demand curves [D1 and D2] and the supply curve [S1] of capital.Figure 17.1
![The figure given below shows the demand curves [D<sub>1</sub> and D<sub>2</sub>] and the supply curve [S<sub>1</sub>] of capital.Figure 17.1 -Risk is typically measured: A) by comparing the size of a firm to other firms operating in the market. B) by looking at the economic profit that a firm has earned in the past few years. C) by determining whether the bonds issued by a firm are of high or low value. D) by comparing how much the stock price fluctuates compared with an average firm. E) by comparing how much the price of the bond falls whenever the price of a firm's product rises.](https://d2lvgg3v3hfg70.cloudfront.net/TB1748/11ea8882_6256_4c4d_8903_87d4e8eb62a5_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00_TB1748_00.jpg)
-Risk is typically measured:
A) by comparing the size of a firm to other firms operating in the market.
B) by looking at the economic profit that a firm has earned in the past few years.
C) by determining whether the bonds issued by a firm are of high or low value.
D) by comparing how much the stock price fluctuates compared with an average firm.
E) by comparing how much the price of the bond falls whenever the price of a firm's product rises.
Correct Answer:
Verified
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