Which One of the Following Statements Applies to Unsystematic Risk

question 14

Multiple Choice

Which one of the following statements applies to unsystematic risk?

• A)It can be eliminated through portfolio diversification.
• B)It is also called market risk.
• C)It is a type of risk that applies to most, if not all, securities.
• D)Investors receive a risk premium as compensation for accepting this risk.
• E)This risk is related to expected returns.

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Definitions:

Gender Stereotypes

Gender stereotypes are generalized beliefs or preconceptions about characteristics, attributes, and behaviors traditionally associated with men and women.

Flexible Perceptions

The ability to adapt one's understanding and outlook towards different perspectives or changing information.

Traditional Stereotypes

Widely held but fixed and oversimplified images or ideas of a particular type of person or thing, often passed down through generations.

Gender Stability

The concept that one’s gender is a permanent feature.