Strikes, Lawsuits, Regulatory Actions, and Increased Competition Are All Examples

question 91

Multiple Choice

Strikes, lawsuits, regulatory actions, and increased competition are all examples of

• A) economic risk.
• B) diversifiable risk.
• C) nondiversifiable risk.
• D) systematic risk.

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Definitions:

Mailbox Rule

A legal doctrine asserting that acceptance of an offer becomes effective, and thus establishes a contract, when the acceptor places the communication of acceptance in the postal system.

Acceptance

In contract law, the unqualified consent to the terms of an offer, thereby creating a binding contract.

Rejection

Termination of a contract that occurs when an offeree does not accept the offer or terms of the contract.

Incapacitated

In a state where an individual is unable to take legal actions or make their own decisions due to physical or mental limitations.