Question
Which of the following statement is NOT correct? In a well-diversified portfolio, nondiversifiable risk is negligible The Federal Reserve increases interest rates 50 basis points
Which of the following statement is NOT correct?
| In a well-diversified portfolio, nondiversifiable risk is negligible | ||
| The Federal Reserve increases interest rates 50 basis points is a systematic-risk event | ||
| The Capital Allocation Line goes through a risky asset | ||
| Mad Cow disease in Montana hurts local ranchers and buyers of beef is a idiosyncratic-risk event |
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Corporate Finance Theory And Practice
Authors: Aswath Damodaran
2nd Edition
0471283320, 9780471283324
