If You Build a Large Enough Portfolio,you Can Diversify Away

question 19

Multiple Choice

If you build a large enough portfolio,you can diversify away all ________ risk,but you will be left with ________ risk.

• A)diversifiable,unsystematic
• B)unsystematic,systematic
• C)systematic,undiversifiable
• D)diversifiable,diversifiable
• E)common,unsystematic

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Definitions:

Paid Tourist Attraction

A place of interest where visitors pay an admission fee to view or participate in activities.

Flew Home

Returned to one's place of residence by air travel.

Took Train

The act of choosing and riding a train as a means of transportation.

Faulty Parallelism

A grammatical error that occurs when elements in a sentence that are supposed to be parallel in structure do not match in form, disrupting the flow of the sentence.