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Which of the following statement is NOT correct? In a well-diversified portfolio, market risk is negligible Mad Cow disease in Montana hurts local ranchers and

Which of the following statement is NOT correct?

In a well-diversified portfolio, market risk is negligible

Mad Cow disease in Montana hurts local ranchers and buyers of beef is a idiosyncratic-risk event

Idiosyncratic risk is not a type of risks exist in a well-diversified portfolio

A senior executive at Enron embezzles $10 million and escapes to South America is a idiosyncratic-risk event

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