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Assume you are comparing two stocks in the same industry for potential investment. Stock A ' s capital structure is 5 0 % equity and

Assume you are comparing two stocks in the same industry for potential investment. Stock A's capital structure is 50% equity and 50% debt. Stock B's capital structure is 25% equity and 75% debt. Which one of the following is the primary risk factor that distinguishes Stock B from Stock A?

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