An increase in the debt ratio will generally have no effect

Last updated: 3/19/2023

An increase in the debt ratio will generally have no effect on which of these items a Business risk b Total risk c Financial risk d Market risk e The firm s beta Choose the right answer from the drop down list in the cell C12 Answer Provided a firm does not use an extreme amount of debt operating leverage typically affects only EPS while financial leverage affects both EPS and EBIT True or False Choose the right answer from the drop down list in the cell C20 Answer