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Business Risk
Business risk pertains to the potential for loss that a business faces from factors affecting its profitability or operational success, such as market competition and demand fluctuations.
Financial Risk
The possibility of losing money on an investment or business venture due to market conditions, interest rate changes, or other financial factors.
Interest Tax Shield
The reduction in income taxes that results from the deduction of interest payments on debt from taxable income.
Unlevered
Pertaining to a business or investment that does not involve borrowing, thereby not subject to the risks and rewards of leverage.
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