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Which of the Following Are Examples of Diversifiable Risk

Question 40

Multiple Choice

Which of the following are examples of diversifiable risk?
I.  An earthquake damages an entire town
II. The federal government imposes a $100 fee on all business entities
III. Employment taxes increase nationally
IV. All toymakers are required to improve their safety standards


A) I and III only
B) II and IV only
C) II and III only
D) I and IV only
E) I, III, and IV only

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