Unsystematic Risk

question 15

Multiple Choice

Unsystematic risk

• A)can be effectively eliminated through portfolio diversification.
• B)is measured by beta.
• C)is compensated for by the risk premium.
• D)is nondiversifiable.
• E)is related to the overall economy.

---

Definitions:

Light Sensitive

Having a sensitivity to light levels, often referring to materials or mechanisms that react or change in the presence of light.

Fovea

A small depression in the retina of the eye where visual acuity is highest due to a high concentration of cones.

Color Perception

The ability of the eye to distinguish objects based on the wavelengths of the light they reflect, emit, or transmit.

Receptor Cells

Specialized cells located in the sensory systems of the body, capable of responding to environmental stimuli and converting them into neural signals.