The type of business risk that refers to how a business handles money is called financial risk.
What is a Financial Risk?
The potential for financial loss in an investment or commercial enterprise. Credit risk, liquidity risk, and operational risk are a few of the more typical and distinct financial hazards.
Financial risk is a type of risk that could cause interested parties to lose money. This may result in governments losing control over monetary policy and defaulting on bonds or other debt obligations. Corporations may fail in an endeavor that places a financial burden on the company, in addition to the danger of defaulting on debt they take on.
The likelihood that a company's cash flow won't be sufficient to cover its obligations is the financial risk that is most frequently mentioned.
To learn more on Financial Risk from the link:
brainly.com/question/26507665
#SPJ4
