Describe three reasons why risk management might increase the value of the firm

Learning Goal: I’m working on a finance discussion question and need an explanation and answer to help me learn.1.How can information you learned in this corporate finance course be applied to your life and/or work to increase your future success? Based on the company you selected to study for this unit, list and describe three reasons why risk management might increase the value of the firm.Answer a post in about a paragraph then reply to post below within 2-3 sentences2. Risk management may increase the value of a firm because it permits companies to improve their use of debt, keeps their ideal capital budget over time, and avoid expenses related to financial distress.Number your answers