1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lesya692 [45]
3 years ago
5

As randomly selected securities are combined to create a portfolio, the ________ risk of the portfolio decreases until 10 to 20

securities are included. The portion of the risk eliminated is ________ risk, while that remaining is ________ risk.
a.total; diversifiable; nondiversifiable
b.diversifiable; nondiversifiable; total
c.relevant; irrelevant; total
d.total; nondiversifiable; diversifiable
Business
1 answer:
Leokris [45]3 years ago
6 0

Answer:

a) Total; Diversifiable; Non-Diversifiable

Explanation:

Risk refers to the uncertainty of returns, chances of loss while investment. Securities have risk, their price might fall much, as to incur loss for the security holder.

Diversifiable Risk is the risk component due to features particular to the security, not due to general market situation. Non Diversifiable risk is the risk component due to general economic & market position features, not due to particular to the security.

Securities portfolios are created to diversify the risk. But, this reduces only the diversifiable (security particular) risk. Non Diversifiable (common market) risk is common to all the securities, so it can't be diversified.

Hence, Securities combined to create portfolio : Risk of portfolio by including 10 - 20 securities reduces Total Risk. It eliminates Diversifiable Risk, but the Non Diversifiable Risk still remains.

You might be interested in
Who is the best rapper??
omeli [17]

Eminem is best rapper and musicians

5 0
2 years ago
Read 2 more answers
1. Companies like Uber, Lyft (one of Uber’s main competitors), and Airbnb (an online marketplace that enables people to lease or
mart [117]

Answer:

Globalization has led to the influx of multinationals in many developing and under developed countries. With the advancement of technology this process has increased and influenced many industries.

Uber is providing convenience to its users to fill the gap between the service provider and service user through a platform

This platform has led to bridge the gap between the user and seller of service.

This convenience can be used not only in the transportation of consumer but can also be used in carrier pick ups. Delivery of foods and mails etc.

It can also be used across industries like in medical industry to provide emergency ambulances. Bridging the gap between medical assistance by providing medical services through apps connecting doctors and patients.

It is being used in freelancing industry as well. To provide a platform for provider of service and consumer.

However in entering into different industries the legal aspects are to be considered to avoid any backlash.

5 0
3 years ago
Many times, clients will shift new people into the project who have no experience with it as they move their key people to new c
bazaltina [42]

Answer:

Many times, clients will shift new people into the project who have no experience with it as they move their key people to new challenges. This issue is: One that is external and intellectual.

Explanation:

External issues do not affect an entity obviously.  The clients shifting new people into projects and moving their key people to new challenges know why they must be doing so.  It may be to encourage organizational learning.  It may be because the key people have been promoted and need to move to higher positions.

Most importantly, it is the clients as entities that we should be concerned and deal with.  Clients like other organizational entities have systems, processes, and policies that they work with to produce results.  Their internal management should remain internal and not be externalized by overtly and overzealous outsiders.

6 0
3 years ago
Harold Corporation has an existing contract to sell 200 units of product to a customer at $10 each. After the delivery of 150 un
nika2105 [10]

Answer:

C. $142.50

Explanation:

From the existing contract,

200 units for $10 each

150 units were delivered so, 10 x 150= $1500.

The customer wants to extend the contract for additional 100 units at $9.50 each.

So,what is the revenue to Harold Corporation for these additional units which cost $9.50 for the next 15 units.

Therefore, 15 x 9.50=  $142.504

4 0
3 years ago
Read 2 more answers
Suppose there are only two producers of aircraft in the world, AirCraft in the United States and AirEurope in the European Union
Jlenok [28]

Answer:

1. AirEurope should produce if it wants to maximize its profit.

2.  False

Explanation:

New payoffs after subsidy:

Aircraft/ AirEurope               Produce     Not Produce

Produce                                 -3 , <u>6</u>              75 , 0

Not Produce                          0 , 74              0 , 0

With a $9 million subsidy, regardless of whether Aircraft produces or not, AirEurope should<u> produce</u> if it wants to maximize its profit.

The statement is false (Aircraft would earn a negative payoff if it enters).

8 0
2 years ago
Other questions:
  • BerryBerry is a fruit juice company that has traditionally sold three varieties of mixed-fruit juices: DazzleBerry, AquaBerry, a
    6·1 answer
  • A company sells digital music players and is introducing its latest player to the market. The company knows it can’t compete hea
    5·1 answer
  • Which of the following typically has the lowest fees or cost to use?
    5·1 answer
  • You are in charge of advertising for a golf course in the southwest. the owner of the course is convinced that once-a-week adver
    11·1 answer
  • Instead of only meeting the goals of upper management, Malcolm also could have tried to meet the goals of his team members. This
    9·2 answers
  • There is often only one major league baseball team in a city. What is the consequence of this in terms of ticket prices? a. Tick
    6·1 answer
  • Jason wants to open a checking account with a ​$100 deposit. Jason believes he will write 15 checks per month and use other​ ban
    15·1 answer
  • The prepaid insurance account had a balance of $3,000 at the beginning of the year. The account was debited for $32,500 for prem
    15·1 answer
  • Exercise 6-1 The Effect of Changes in Activity on Net Operating Income [LO6-1]Whirly Corporation’s contribution format income st
    7·1 answer
  • Your company, a small start-up corporation, buys raw materials from Regina Fabrics on credit. Because her company has had severa
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!