Question

In: Finance

Which of the following is NOT associated with (or does not contribute to) business risk? A....

Which of the following is NOT associated with (or does not contribute to) business risk?

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

Solutions

Expert Solution

Answer B. The extent to which interest rate on the firm's debt fluctuate.

Because the it is not associated dirctly with the operations of the company/business.

All the other option given are affects the business risk.


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