Which of the Following Is the Best Definition of Financial

question 51

Multiple Choice

Which of the following is the best definition of financial risk?

• A) It is the uncertainty regarding the gain or loss from an investment.
• B) It is the uncertainty that an investment's actual return will be less than its expected return.
• C) It is the possibility that an investment will earn a negative return.
• D) It is the possibility that an investment will lose money.

---

Definitions:

Against Persons

Legal actions or claims directed towards individuals, as opposed to property or the state.

Comparative Negligence

A legal doctrine that apportions damages according to the degree of fault or negligence found against each party in a lawsuit.

Contributory Negligence

A legal doctrine where if the plaintiff in a tort claim is found to have contributed to their own harm, they may be barred from recovering damages.

Last Clear Chance

A legal doctrine that states that a party who has the last opportunity to avoid an accident, despite the negligence of the opposing party, may be liable for any resulting damages.