{"id":49007,"date":"2024-04-15T22:49:34","date_gmt":"2024-04-15T22:49:34","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=49007"},"modified":"2024-04-15T22:49:34","modified_gmt":"2024-04-15T22:49:34","slug":"risk-which-is-caused-by-events-such-as-strikes-unsuccessful-marketing-programs-and-other-lawsuits-is-classified-as","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/risk-which-is-caused-by-events-such-as-strikes-unsuccessful-marketing-programs-and-other-lawsuits-is-classified-as\/","title":{"rendered":"Risk which is caused by events such as strikes, unsuccessful marketing programs and other lawsuits is classified as"},"content":{"rendered":"<p>\r\n    <!-- Check if it's an AMP page -->\r\n            <!-- Non-AMP version -->\r\n        <div class=\"mcq-container\" data-quiz-id=\"quizState_6a975d1d60f05\">\r\n                                            <div class=\"option\" data-option-key=\"option1\" data-is-correct=\"false\">\r\n                    stock risk                <\/div>\r\n                                            <div class=\"option\" data-option-key=\"option2\" data-is-correct=\"true\">\r\n                    portfolio risk                <\/div>\r\n                                            <div class=\"option\" data-option-key=\"option3\" data-is-correct=\"false\">\r\n                    diversifiable risk                <\/div>\r\n                                            <div class=\"option\" data-option-key=\"option4\" data-is-correct=\"false\">\r\n                    market risk                <\/div>\r\n                            \r\n            <!-- Feedback messages for non-AMP -->\r\n            <div class=\"feedback\" data-feedback=\"wrong\">Answer is Right!<\/div>\r\n            <div class=\"feedback\" data-feedback=\"right\">Answer is Wrong!<\/div>\r\n        <\/div>\r\n\r\n        <script>\r\n        document.addEventListener('DOMContentLoaded', function () {\r\n            var containers = document.querySelectorAll('.mcq-container');\r\n\r\n            containers.forEach(function(container) {\r\n                var options = container.querySelectorAll('.option');\r\n                var feedbackSelect = container.querySelector('[data-feedback=\"select\"]');\r\n                var feedbackWrong = container.querySelector('[data-feedback=\"wrong\"]');\r\n                var feedbackRight = container.querySelector('[data-feedback=\"right\"]');\r\n\r\n                options.forEach(function(option) {\r\n                    option.addEventListener('click', function() {\r\n                        var selectedOption = option.getAttribute('data-option-key');\r\n                        var isCorrect = option.getAttribute('data-is-correct') === 'true';\r\n\r\n                        \/\/ Remove previous selections\r\n                        options.forEach(function(opt) {\r\n                            opt.classList.remove('correct', 'incorrect');\r\n                        });\r\n\r\n                        \/\/ Add the correct\/incorrect class\r\n                        if (isCorrect) {\r\n                            option.classList.add('correct');\r\n                            feedbackRight.hidden = false;\r\n                            feedbackWrong.hidden = true;\r\n                        } else {\r\n                            option.classList.add('incorrect');\r\n                            feedbackRight.hidden = true;\r\n                            feedbackWrong.hidden = false;\r\n                        }\r\n\r\n                        \/\/ Hide select feedback\r\n                        feedbackSelect.hidden = true;\r\n                    });\r\n                });\r\n            });\r\n        });\r\n        <\/script>\r\n    \r\n    <!--more--><\/p>\n<p>The correct answer is: <strong>B. portfolio risk<\/strong><\/p>\n<p>Portfolio risk is the risk that remains in a portfolio after diversification has been applied. It is the risk that cannot be eliminated by combining assets in a portfolio. Portfolio risk is caused by factors that affect all assets in the portfolio, such as changes in interest rates, inflation, and economic conditions.<\/p>\n<p>Stock risk is the risk associated with owning a particular stock. It is the risk that the price of the stock will go down, resulting in a loss for the investor. Stock risk is caused by factors that affect the specific <div class=\"youtube-subscribe-container\">\r\n        <a href=\"https:\/\/www.youtube.com\/channel\/UCNHT8lW-JmLC68rjBfZhdkg?sub_confirmation=1\" target=\"_blank\" class=\"youtube-subscribe-button\">\r\n            <span class=\"youtube-icon\">\r\n                <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 576 512\">\r\n              <div class=\"telegram-channel-container\">\r\n        <a href=\"https:\/\/t.me\/pscnotes2025\" target=\"_blank\" class=\"telegram-channel-button\">\r\n            <span class=\"telegram-icon\">\r\n                <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 496 512\">\r\n                    <path fill=\"white\" d=\"M248,8C111,8,0,119,0,256s111,248,248,248s248-111,248-248S385,8,248,8z M362,177L320,367c-3,14-10,18-20,14l-56-41l-27,26 c-3,3-5,5-10,5l4-63L323,196c5-5-1-7-8-3l-98,62l-42-13c-9-3-10-9,2-14l162-63C351,160,365,164,362,177z\"\/>\r\n                <\/svg>\r\n            <\/span>\r\n            Join Our Telegram Channel\r\n        <\/a>\r\n    <\/div>       <path d=\"M549.7 124.1c-6.3-23.7-24.8-42.3-48.3-48.6C458.8 64 288 64 288 64S117.2 64 74.6 75.5c-23.5 6.3-42 24.9-48.3 48.6-11.4 42.9-11.4 132.3-11.4 132.3s0 89.4 11.4 132.3c6.3 23.7 24.8 41.5 48.3 47.8C117.2 448 288 448 288 448s170.8 0 213.4-11.5c23.5-6.3 42-24.2 48.3-47.8 11.4-42.9 11.4-132.3 11.4-132.3s0-89.4-11.4-132.3zm-317.5 213.5V175.2l142.7 81.2-142.7 81.2z\"\/>\r\n                <\/svg>\r\n            <\/span>\r\n            Subscribe on YouTube\r\n        <\/a>\r\n    <\/div> company, such as its financial performance, management, and industry.<\/p>\n<p>Diversifiable risk is the risk that can be eliminated by combining assets in a portfolio. It is the risk that is specific to a particular asset or group of assets. Diversifiable risk can be eliminated by investing in a portfolio of assets that are not correlated with each other.<\/p>\n<p>Market risk is the risk that is common to all assets in the market. It is the risk that the market will go down, resulting in losses for all investors. Market risk is caused by factors that affect the entire market, such as changes in interest rates, inflation, and economic conditions.<\/p>\n<p>Here are some examples of events that can cause portfolio risk:<\/p>\n<ul>\n<li>Strikes: A strike can cause a company to lose production, which can lead to a decrease in profits and a decrease in the price of the company&#8217;s stock.<\/li>\n<li>Unsuccessful marketing programs: An unsuccessful marketing program can lead to a decrease in sales, which can lead to a decrease in profits and a decrease in the price of the company&#8217;s stock.<\/li>\n<li>Lawsuits: A lawsuit can be very expensive, and if the company loses the lawsuit, it could have to pay a large amount of money, which could lead to a decrease in profits and a decrease in the price of the company&#8217;s stock.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Join Our Telegram Channel Subscribe on 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