Kent, a Manager at ITP Inc

question 102

Multiple Choice

Kent, a manager at ITP Inc., was asked by his supervisor to sign a contract with a new supplier. The contract stated that the industrial waste released by the company would be released into a local river. Kent was against this idea of polluting the river with the waste, so he refused to sign the contract. In this scenario, Kent exercised his right of

• A) freedom of conscience.
• B) first refusal.
• C) freedom of speech.
• D) privacy.
• E) free consent.

---

Definitions:

Security Market Line

A graphical representation of the expected return on investments as a function of their risk, illustrating the capital asset pricing model.

Market Risk Premium

The extra return investors expect to earn from holding a risky market portfolio instead of risk-free assets.

Diversification

An investment strategy that involves spreading out investments across various financial instruments, industries, and other categories to reduce risk.

Fundamentally Different Industries

are industries that vary greatly in their nature, operations, market dynamics, and regulatory environments.