The Risk That the Rate of Return on an Investment

question 95

Multiple Choice

The risk that the rate of return on an investment will be less than expected due to factors that are independent of the investment, such as political, social or economic events, is called

• A) business risk.
• B) financial risk.
• C) market risk.
• D) liquidity risk.

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Definitions:

Assembly Line

A manufacturing process in which parts are added to a product in a sequential manner to create a finished product more efficiently.

Impractical to Manipulate

A description of situations or variables that are difficult or unethical to control or alter for the purpose of scientific study.

Descriptive/Correlational Method

Research strategies for observing and describing the behavior of a subject without influencing it, and determining the relationship between variables.

Research Question

A specific, focused question that guides a scientific study or investigation.