The Amount of Risk That Is Eliminated in a Portfolio

question 86

Multiple Choice

The amount of risk that is eliminated in a portfolio depends on the degree to which the stocks face ________ risks and their prices move together.

• A) common
• B) independent
• C) firm-specific
• D) unique

---

Definitions:

Apply Macro

The process of executing a predefined set of instructions or a macro to automate repetitive tasks in software applications.

Stop Recording

A command or action used to cease the capture of audio or video content, frequently used in multimedia production and surveillance systems.

Character Style

A set of attributes, such as font size and color, that can be applied to text to achieve a consistent look in documents.

Text Formatting

The process of adjusting the appearance of text, including font size, color, and style to improve readability or aesthetics.