Question: Contrast (provide brief example) and explain the implications of an unlevered firm with that of a levered firm on Net Income and the corresponding risks

Contrast (provide brief example) andexplainthe implications of anunleveredfirmwith that of alevered firmon Net Income and the corresponding risks associated with each approach. In addition, what should or could a financial manager look at to determine whether her/his company is successful or in financial distress?

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