Answer: C. Idiosyncratic Risk
Explanation:
Idiosyncratic risk which is also referred to as UNSYSTEMATIC RISK is the inherent risk involved when a specific asset is invested in.
The risk affects that specific asset and not the rest of the portfolio or the market. Hence it is the OPPOSITE of SYSTEMATIC RISK as Systematic risk affects all companies.
Idiosyncratic risks are more rooted in individual companies (or individual investments). Investors can mitigate idiosyncratic risks by diversifying their investment portfolios.
A Stock being dependant on a keep figure falls under this type of risk as it is unique to a certain company.
Steve Jobs was considered the Visionary behind Apple and so when he was ill and finally died, Apple Stock kept going down but not by too much.
Bless his soul.
Answer:
C) 9 percent per year
Explanation:
In the short run an increase in the money supply should increase total output in the economy, decreasing unemployment. Therefore, the larger the increase in the money supply, the larger the decrease in unemployment.
But in the long run it will also increase the inflation rate, increasing the interest rates and producing a boomerang effect which will lower the money supply and increase unemployment.
The Fed should try to maintain low, stable interest rates, not roller coaster type interest rates.
Answer:
d. HRM should be left to line managers because they know their people best
Explanation:
Human Resource Management is a holistic endeavor that every company needs to undertake and incorporates the best abilities of the management to cater to the needs of both the employees and stakeholders to create a balance of functionality and growth.
Answer:
D. Serve as the fiscal agent for the Federal government
Explanation:
The Federal Reserve System (FRS) is the central bank of the United States. FRS regulates the U.S. monetary and financial system.
The functions of Federal Reserve System includes;
1. conducting the nation's monetary policy
2. regulating banking institutions
3. monitoring and protecting the credit rights of consumers
4. maintaining the stability of the financial system
5. providing financial services to the U.S. government.
