Didn't know how to answer this question?

"Explain the impact of debt/leverage on a project?"

It's just for an internship, I just talked about increased risk + increased potential returns. If they estimate a higher ROA than the outcome they may not be able to pay back interest on the loan and take heavy losses in equity and profitability. 

IK this is probably the most basic answer anyone could come up with,  I just didn't know what to say and it's the first thing that came out of my mouth. He didn't really give me any response LMAO 

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