Which One of the Following Is the Best Example of a Risk

question 24

Multiple Choice

Which one of the following is the best example of a risk associated with stock ownership?

• A)The stock paid a regular quarterly dividend.
• B)The firm's net income decreased by 4% for the quarter, as expected.
• C)One of the firm's patent applications was unexpectedly rejected.
• D)The firm's cost of debt increased as the result of an expected tax cut.
• E)The firm's production costs increased in line with previous years.

---

Definitions:

Autonomy versus Shame

A stage in Erikson's psychosocial development theory where, during toddlerhood, children develop a sense of personal control and independence, or experience doubt and shame.

Muscular-anal Stage

In psychoanalytic theory, a developmental phase focusing on toilet training where children learn to exert control over bodily functions.

Autonomy versus Doubt

A psychological conflict of early childhood, as theorized by Erik Erikson, where children must develop a sense of personal control and independence, or they may experience shame and doubt in their abilities.

Situational Variables

External factors present in an individual's environment that can affect behaviors and outcomes in specific contexts.