Leverage _____ the Return to Shareholders and _____ the Risk

question 78

Multiple Choice

Leverage _____ the return to shareholders and _____ the risk of their investment.

• A)lowers; lowers
• B)lowers; increases
• C)increases; lowers
• D)increases; increases

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Definitions:

Delivery

The process of transporting goods from one place to another, or the act of transferring possession and control of an asset to another party.

Payment Of Money

A transaction where currency is transferred from one party to another as a means of fulfilling a financial obligation.

Tangible Real Property

Physical property, such as land or buildings, that has inherent value and exists in the material world.

Corn

A cereal plant that yields large kernels set in rows on a cob, widely grown for food, fodder, and biofuel.