Which Statement Is Correct Concerning the Effect on Subsequent Questions

question 59

Multiple Choice

Which statement is correct concerning the effect on subsequent questions?

• A)As a rule of thumb,general questions should precede specific questions to prevent specific questions from biasing responses to general questions.
• B)The inverted funnel approach is useful when respondents have no strong feelings or have not formulated a point of view.
• C)The inverted funnel approach is particularly useful when information has to be obtained about respondents' general choice behavior and their evaluations of specific products.
• D)All are correct.

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Definitions:

Systematic Risk

The inherent risk associated with the entire market or market segment, which cannot be avoided through diversification.

Diversified Investor

An investor who spreads their investments across various assets, industries, or geographies to reduce risk.

Risk Premium

The extra return expected by investors for holding a riskier investment over a risk-free asset.

Diversifiable Risk

Is the type of investment risk that can be reduced through diversification of a portfolio, related to specific factors affecting individual companies or sectors.