How does a company use financial leverage to assess its risk premium?

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How does a company use financial leverage to assess its risk premium?

I need two answers for both questions

 

Module 5 DQ 2

Several factors affect the assessment of the risk premium for an investment in a stock. Companies in different countries differ in the levels of financial leverage they exercise. How does a company use financial leverage to assess its risk premium?

Module 5 DQ 1A manufacturing company from a country considered to be an emerging market has just issued an IPO on NYSE. The company is increasingly becoming a popular outsourcing partner for many US firms. How are market conditions in the US and the company’s country of origin factored? Why is it important?

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