The Application of Ethical Principles to Specific Issues Such as Social

question 23

Multiple Choice

The application of ethical principles to specific issues such as social research or medical practice is called:

• A) meta-ethics
• B) normative ethics
• C) applied ethics
• D) practical ethics

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Definitions:

Unique Risk

Nonmarket or firm-specific risk factors that can be eliminated by diversification. Also called firm-specific risk, nonsystematic risk, or diversifiable risk.

Diversification

Diversification is an investment strategy that aims to reduce risk by allocating investments among various financial instruments, industries, geographic locations, or other categories.

Portfolio

A collection of investments, such as stocks, bonds, commodities, and real estate, held by an individual or an institution.

Index Model

A statistical model to estimate the returns of a stock based on the returns of a broader market index.