Which of the following pairs of risks have both the components referring to the same kind of risk?
A) Market risk and unsystematic risk
B) Market risk and relevant risk
C) Firm-specific risk and nondiversifiable risk
D) Firm-specific risk and systematic risk
E) Firm-specific risk and market risk

Question

Quizplus · Accepted Answer

Market risk and relevant risk both refer to systematic risk, which affects the entire market or economy and cannot be eliminated through diversification.

Which of the Following Pairs of Risks Have Both the Components