Which One of the Following Is an Example of Diversifiable

question 97

Multiple Choice

Which one of the following is an example of diversifiable risk?

• A) The price of electricity just increased.
• B) The employees of Textile, Inc. just voted to go on strike.
• C) The government just imposed new safety standards for all employees.
• D) The government just lowered corporate income tax rates.
• E) The Workers Compensation Premiums just increased nationwide.

---

Definitions:

Compensation

Payment or reward given for service, achievement, harm, or loss, often pertaining to employment or legal restitution.

Early Retirement

The decision to leave the workforce before the traditional retirement age, often to pursue personal interests or due to financial readiness.

Part-Time

Working or involving fewer hours than are considered standard or full-time, often allowing for flexibility or accommodation of other commitments.

Older Worker

An employee within an organization or workplace who is typically close to or past the traditional age of retirement, often characterized by a wealth of experience.