Unsystematic Risk

question 3

Multiple Choice

Unsystematic risk:

• A) can be effectively eliminated by portfolio diversification.
• B) is compensated for by the risk premium.
• C) is measured by beta.
• D) is measured by standard deviation.
• E) is related to the overall economy.
• F) None of the above.

---

Definitions:

Ethical Dilemmas

Situations in which a person must choose between competing moral principles or values, often with no clear right answer.

Moral Development

The process by which individuals develop their understanding of right and wrong, often influenced by personal experiences and societal norms.

Organizational Community

Organizational Community refers to the sense of belonging and collective identity shared among members within an organization, fostering a supportive and united environment.

Good Society

A concept referring to an ideal or utopian society that ensures justice, equality, and well-being for its members.