Q687
An unsystematic risk which can be eliminated but market risk is the
A.
aggregate risk
B.
remaining risk
AnswerC.
effective risk
D.
ineffective risk
Answer: Option B
Solution
Answer: Option B
Solution:
An unsystematic risk which can be eliminated but market risk is the An unsystematic risk which can be eliminated but market risk is the remaining risk. Unsystematic risk is the risk that is inherent in a specific company or industry. By investing in a range of companies and industries, unsystematic risk can be drastically reduced through diversification.