Which One of the Following Types of Risk Cannot Be

question 29

Multiple Choice

Which one of the following types of risk cannot be effectively eliminated through portfolio diversification?

• A) inflation risk
• B) labor problems
• C) materials shortages
• D) product recalls

---

Definitions:

Simplify

Simplifying an expression to its most basic state.

Divide

The process of splitting a number into equal parts or groups, or finding how many times one number is contained within another.

Multiply

The arithmetic operation of scaling one number by another, essentially repeated addition.

Multiply

The arithmetic process of calculating the result of adding a number to itself a certain number of times.