Risk in Finance

question 98

Multiple Choice

Risk in finance:

• A)is variability in return.
• B)can be decomposed into business-specific and market components.
• C)will be accepted by some investors if higher expected returns are offered in compensation.
• D)All of the above

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Definitions:

Sodium Ethoxide

A sodium salt of ethanol, used primarily as a strong base in organic synthesis, formed by the reaction between ethanol and sodium metal.

Ethanol

A volatile, flammable, colorless liquid alcohol, widely used as a solvent, in medicine, and as the intoxicating ingredient in alcoholic beverages.

Substitution Reaction

A chemical reaction in which an atom or group of atoms in a molecule is replaced by another atom or group of atoms.

Mechanism

The detailed process by which a chemical reaction occurs, at the level of molecular structure.