The increased variability in earnings per share due to the use of debt is:

A) combined leverage.
B) business risk.
C) financial risk.
D) operating risk.

Earnings per Share

A metric used to determine the portion of a company's profit allocated to each outstanding share of common stock, serving as an indicator of the company's profitability.

Debt

Money borrowed by one party from another, typically used for personal or business financing, requiring repayment with interest.

Financial Risk

The risk of monetary loss associated with investing in or running a business.