The Unexpected Return on a Security, U, Is Made Up

question 40

Multiple Choice

The unexpected return on a security, U, is made up of:

• A) market risk and systematic risk.
• B) systematic risk and idiosyncratic risk.
• C) idiosyncratic risk and unsystematic risk.
• D) expected return and market risk.
• E) expected return and idiosyncratic risk.

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Definitions:

Bush's Secretary

Refers to an official or aide who served under President George H.W. Bush or George W. Bush, often in a significant governmental role.

House Majority Leader

The leader of the majority party in a legislative body, such as the U.S. House of Representatives, responsible for coordinating and strategizing party legislative activities.

Postracial Nation

The idea of a society or nation that has moved beyond racial distinctions and prejudices, often considered an ideal yet unachieved state.