Which of the Following Statements Is Incorrect

Multiple Choice

Which of the following statements is incorrect?

A) the higher the debt levels or leverage,the lower the risk that a company may not be able to meet its debts as they fall due
B) a company's assets are funded by both owners' equity and external liabilities
C) the higher the debt levels or leverage,the greater the risk that a company may not be able to meet its debts as they fall due
D) all of the above