Systematic Risk Is Measured By

question 70

Multiple Choice

Systematic risk is measured by:

• A) the mean.
• B) beta.
• C) the geometric average.
• D) the standard deviation.
• E) the arithmetic average.

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Definitions:

Operating Profit

Earnings before interest and taxes (EBIT), representing the profit a business makes from its operations.

Selling Price

The amount for which a product or service is sold to the customer.

Unit Cost

The expenditure involved in generating, keeping, or obtaining one unit of a product or service.

Overhead

An ongoing expense of operating a business, such as rent, utilities, and salaries.