Primary Risk can either be Financial risk, Purchasing power risk, Business risk, Market risk, Interest rate risk, or Liquidity risk

Understanding the Risks and Rewards of Investing You've heard that investing can be risky, but what exactly are the risks? Why do some investments grow while others fail? The following examples demonstrate some of the potential pitfalls your investments might suffer. For each of the following, indicate which type of investment risk is being described. Investment Primary Risk Real estate can be a valuable investment in times of price inflation, the higher the price level, the greater the value of the property. If the general price level declines, however, these investments can lose significant value. GrainsAGo is a company that distributes cakes and breads to major grocery stores across the country. A headline science news story points out that in the course of human evolution, only recently did humans begin to eat processed grains, and our bodies may not be well adapted to processing them. A restaurant chain recently issued $1,000,000 worth of new stock shares, increasing it's debt obligations in hopes of financing a new restaurant location. The construction of the new store ended up taking twice as long as anticipated, thus forestalling the expected increases in revenue. As a result, the company is having difficulty making the interest payments on its outstanding debt