Which One of the Following Qualifies as Diversifiable Risk

question 40

Multiple Choice

Which one of the following qualifies as diversifiable risk?

• A)market risk
• B)systematic risk associated with an individual security
• C)market crash
• D)the systematic portion of an expected return
• E)the unsystematic portion of an unexpected return

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Definitions:

Cultural Relativism

The principle that an individual's beliefs and activities should be understood by others in terms of that individual's own culture.

Rule-Based Ethics

An ethical framework where actions are judged right or wrong based purely on adherence to a set of rules or ethical guidelines.

Consequential Ethics

An ethical approach that evaluates the morality of actions based on their outcomes or consequences.

Demographic Trends

Patterns of changes in population characteristics over time such as age, race, and gender distributions.