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Systematic risk

8. Which one of the following is an example of systematic risk?

a. An oil fire sinks a tanker ship.
b. A chemist discovers a new drug that will cure cancer.
c. Congress raises corporate tax rates.
d. The CFO of Nu-Tek is fired for conduct unbecoming a corporate executive

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As per investopedia, Systematic Risk means the risk inherent to the entire market or entire market segment. This is also known as "un-diversifiable risk" or "market risk." Hence systematic risk represents the uncertainty related to overall market. For example, the world ...

Solution Summary

Response discusses systematic risk