Identify the Statement That Is Incorrect

question 166

Multiple Choice

Identify the statement that is incorrect.

• A)Higher financial leverage involves higher risk.
• B)Risk is higher if a company has more liabilities.
• C)Risk is higher if a company has higher assets.
• D)The debt ratio is one measure of financial risk.
• E)Lower financial leverage involves lower risk.

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Definitions:

Sediment

Particulate material that is transported and deposited by wind, water, or ice, often forming layers on the Earth's surface.

Red Algae

A group of primarily aquatic, photosynthetic organisms, known for their reddish pigmentation and importance in marine ecosystems.

Billion Years

A unit of time used in geology, astronomy, and evolutionary biology, among other fields, to describe extremely long periods in Earth's history or the history of the universe.

India

A country in South Asia, known for its diverse cultures, languages, and histories, and as the seventh-largest country by land area.