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 succeed while others fail? The following examples demonstrate some of the potential pitfalls your investments might encounter: Select the primary type of investment risk that corresponds to each of the given descriptions. (Hint: These are not necessarily complete descriptions, but there is only one possible answer for each description.) Description Primary Risk Prior to 2008-2009, the shoe company Runner's High had boen growing at a steady pace, expanding its product line and entering markets in new regions, When the recession hit, however, inventaries piled up as sales declined, such that the company was unable to make payments to some of its suppliers: Govemment securities guarantee fred payments and set intervals, If tho demand for money declines, howiver, the value of these securties decines as well. Compliz is a tech company thot initally sparked investor enthusiasm, resulting in a dramatic rise in share valve after the initial public offering. In response to a rumor that the company's latest product contained a gitch, investors rushed to sell their shares, causing a sharp decline in the stock price. the risks? Why do some investments succeed while others fail? falls your investments might encounter. each of the given descriptions. (Hint: These are not necessarily complete descriptions, owing at a steady pace, expanding ession hit, however, inventories piled payments to some of its suppliers. If the demand for money declines, siasm, resulting in a dramatic rise in that the company's latest product sharp decline in the stock price