Question

What would most likely affect a particular company's systematic risk? select correct number.

1. According to the U.S. government, inflation is expected to increase during the next five years

2. There is a good chance that a trade war affects the sales of the US firms in the near future.

3. Next year the company plans to introduce a new product line that has a 30 percent chance of failing

4. The firm's sales this year probably will substantially lower than the amount forecasted by senior management.

5. Company CEO retires

Answer 1

Answer :

1. According to the U.S. government, inflation is expected to increase during the next five years

2. There is a good chance that a trade war affects the sales of the US firms in the near future

Explanation : Systematic risk is a market risk which affects all the companies and above two options are those events that will affect all the companies at once.

If you have any doubt then please ask

Please do rate the answer