Multiple Choice
Unsystematic risk:
A) can be effectively eliminated through portfolio diversification.
B) is compensated for by the risk premium.
C) is measured by beta.
D) cannot be avoided if you wish to participate in the financial markets.
E) is related to the overall economy.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q91: According to the CAPM,the expected return on
Q92: The risk-free rate of return is 3.68
Q93: Which one of the following is an
Q94: The variance of Stock A is .0036,the
Q95: Which one of these best describes steps
Q97: The systematic risk of the market is
Q98: Assume you are looking at an opportunity
Q99: The probability the economy will boom is
Q100: The beta of a security is calculated
Q101: One example of a nondiversifiable risk is