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Simplify the fraction. If the fraction is undefined, answer undefined.
Business Risk
The exposure a company or investor faces due to uncertainties in profits or dangers in its industry or economy.
Equity Risk
The risk of loss due to a drop in the value of stocks or equity securities.
Operating Activities
Activities directly related to the day-to-day operations of a business, such as sales, purchasing inventory, and paying salaries.
Static Theory of Capital Structure
A concept in corporate finance that suggests a firm can find an optimal capital structure, balancing the benefits and costs of debt and equity financing.
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