Political risk is the risk that a ________ will negatively affect a company's cash flows.

Question

Quizplus · Accepted Answer

Political risk refers to the risk that actions or decisions taken by a government will have a negative impact on a company's operations, which in turn affects its cash flows. Examples of political risks include changes in laws or regulations, increases in taxes or tariffs, expropriation of assets, and political instability or unrest.

Political Risk Is the Risk That a ________ Will Negatively