Fluctuations of a Stock's Return That Are Due to Market-Wide

question 71

Multiple Choice

Fluctuations of a stock's return that are due to market-wide news representing common risk is the ________.

• A) idiosyncratic risk
• B) systematic risk
• C) unique risk
• D) unsystematic risk

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Definitions:

Situations Involving Vulnerability

Circumstances that expose individuals or groups to the possibility of being harmed, physically or emotionally.

Calculus-based Trust

A form of trust predicated on the calculation and expectation that another individual will act in a predictable manner, often based on the perceived benefits and penalties associated with maintaining or betraying trust.

Deliver Promises

The act of fulfilling or keeping commitments and expectations previously agreed upon.

Counterproductive Norms

Established patterns of behavior within a group that hinder its achievement of goals or negatively affect its performance.