Unsystematic Risk Can Be Defined As

question 8

Multiple Choice

Unsystematic risk can be defined as:

• A) the total risk to the firm.
• B) the risk of the individual security.
• C) the added risk that a firm's shares bring to a diversified portfolio.
• D) the risk of the market in general.

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Definitions:

Synthesis

The process of combining different elements or components to form a complex whole, often used in chemistry and biology.

Reversible

Capable of being returned to the original condition or position without altering its basic nature.

Oxidation

A chemical reaction in which a substance loses electrons, often leading to its combination with oxygen.

Energy Conversion

The process of transforming energy from one form to another, such as from chemical energy to mechanical energy.