1.One of the risks of borrowing money is changing interest rates. For example, if a company issues bond when the market rate is 7%, what happens if the market rates goes down while the bond are outstanding? Name some action a company could take to control this risk.

2.When the stock market is going up over a long period of time, investors can become complacent about the risks of being a shareholder. After the significant decline of the stock market in 2008, people have begun to rethink the risk involved in owning stock. What kinds of risks do the owners of publicly-traded companies face? What could you do, as an investor to continue to invest in the market but minimize your risk?