Which Is the Following Is Most Likely to Be a Derived

question 101

Multiple Choice

Which is the following is most likely to be a derived demand?

• A)the demand for new clothes to wear to a party
• B)the demand for a house to live in
• C)the demand for oranges that will be used to produce and sell orange juice
• D)the demand for oranges to eat

---

Definitions:

Beta

A financial metric that measures the volatility, or systemic risk, of a stock or portfolio compared to the market as a whole.

Company Cost

The total expenditure incurred by a company in the process of producing or selling goods and services.

Risk-Adjusted Rate

A financial metric that adjusts returns on investments by taking into account the level of risk involved, aiming to provide a more accurate comparison across different investments.

Risk-Free Asset

An investment that provides a guaranteed return with no risk of financial loss.