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. WHICH OF THE FOLLOWING STATEMENTS IS TRUE? A. THE BUSINESS RISK OF A FIRM INCREASES WHEN IT TAKES ON MORE DEBT. B. THE BUSINESS

. WHICH OF THE FOLLOWING STATEMENTS IS TRUE? A. THE BUSINESS RISK OF A FIRM INCREASES WHEN IT TAKES ON MORE DEBT. B. THE BUSINESS RISK OF A FIRM INCREASES WHEN IT TAKES ON A RISKY PROJECT. C. THE FINANCIAL RISK OF A FIRM INCREASES WHEN IT TAKES ON MORE EQUITY. D. THE FINANCIAL RISK OF A FIRM DECREASES WHEN IT TAKE ON A RISKY PROJECT. E. THE HIGHER THE BUSINESS RISK FOR A FIRM, THE HIGHER THE FINANCIAL RISK AS WELL.

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