Which of the Following Is a Disadvantage of Conducting Primary

question 5

Multiple Choice

Which of the following is a disadvantage of conducting primary research into a business problem?

• A) It may not be pertinent to a business's particular problem.
• B) It is less reliable than secondary research.
• C) It cannot make use of open-ended questions.
• D) It is more time consuming than secondary research.
• E) It cannot be influenced by preexisting opinions.

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Definitions:

Beta

A metric that evaluates the degree of fluctuation in a stock's price against the broader market.

Reward-to-risk Ratio

A measure used to compare the expected returns of an investment to the amount of risk undertaken to capture these returns.

Market Risk Premium

Market Risk Premium refers to the excess return that an investor anticipates receiving from a risky market portfolio over that of risk-free securities.

Security Market Line

A line on a graph that describes the relationship between risk and expected return, used in the capital asset pricing model.