The market risk is the option that would ot generally be affected by an increase in the debt ratio. Oprtion A
What is the debt ratio?
The phrase "debt ratio" refers to a financial ratio that assesses how much leverage a business has. The ratio of total debt to total assets, represented as a decimal or percentage, is known as the debt ratio. The percentage of a company's assets that are financed by debt is one way to understand it.
An asset-to-asset ratio greater than 1 indicates that a significant portion of a firm's assets are financed by debt, which indicates that the corporation has more liabilities than assets. If interest rates abruptly increase, a company with a high ratio may be at risk of loan default.
Read more on debt ratio here:https://brainly.com/question/27993089
#SPJ1
