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Which of the following is the best definition of unsystematic risk A) A theory showing that the expected return on any risky asset is a

Which of the following is the best definition of unsystematic risk

A) A theory showing that the expected return on any risky asset is a linear combination of various factors.

B) A risk that affects at most a small number of assets. Also called unique or asset-specific risks.

C) A risk that influences a large number of assets. Also called market risk

D) Positively sloped straight line displaying the relationship between expected return and beta.

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