ENTREPRENEURIAL PLANNING
FINANCIAL PLANNING AND ANALYSIS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The followings are types of unsystematic risk EXCEPT (can choose more than one answer)
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Business risk
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Purchasing power risk
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Financial risk
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Interest rate risk
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Explanation:
Detailed explanation-1: -Types: Systematic risks include interest, inflation, purchasing power, and market risk, whereas unsystematic risks are financial and business-specific risks.
Detailed explanation-2: -Two common sources of unsystematic risk are business risk and financial risk. Diversification can greatly reduce unsystematic risk from a portfolio. Diversification can greatly reduce unsystematic risk from a portfolio.
Detailed explanation-3: -Expert Answer Explanation: Example of unsystematic risk: Consumer spending on entertainment decreased nationally.
There is 1 question to complete.