Which One of the Following Is an Example of Unsystematic

question 6

Multiple Choice

Which one of the following is an example of unsystematic risk?

• A) the inflation rate increases unexpectedly
• B) the federal government lowers income taxes
• C) an oil tanker runs aground and spills its cargo
• D) interest rates decline by one-half of one percent
• E) the GDP rises by 2% more than anticipated

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Definitions:

Out-of-Pocket Rule

A legal principle used to calculate damages based on the actual direct losses and costs incurred by a plaintiff.

Misrepresents

To provide false or misleading representations about something, often with the intention to deceive.

Damage Award

A damage award is the amount of money granted to a party in a lawsuit for compensation for loss, injury, or harm suffered as a result of another party's actions.

Specific Performance

A legal remedy requiring a party to perform a specific act, often the completion of a transaction as contractually agreed.