A. Expected risk
B. Beta risk
C. Industry risk
D. Returning risk
Related Mcqs:
- Sum of market risk and diversifiable risk are classified as total risk which is equivalent to_______________?
A. Sharpe’s alpha
B. Standard alpha’s
C. Alpha’s variance
D. Variance - A type of project whose cash flows would not depend on each other is classified as______________?
A. Project net gain
B. Independent projects
C. Dependent projects
D. Net value projects - Project which is started by firm for increasing sales is classified as______________?
A. New expansion project
B. Old expanded project
C. Firm borrowing project
D. Product line selection - An effect of interest rate risk and investment risk on a bond’s yield is classified as_________?
A. Reinvestment premium
B. Investment risk premium
C. Maturity risk premium
D. Defaulter’s premium - An unsystematic risk which can be eliminated but market risk is the__________?
A. Aggregate risk
B. Remaining risk
C. Effective risk
D. Ineffective risk - According to market risk premium, an amount of risk premium depends upon investor______________?
A. Risk taking
B. Risk aversion
C. Market aversion
D. Portfolio aversion - The situation in which one project is accepted while rejecting an other project in comparison is classified as __________?
A. present value consent
B. mutually exclusive
C. mutual project
D. mutual consent - The bonds that are backed by cash flow from project and are sold to finance particular project are classified as ____________?
A. finance bonds
B. revenue bonds
C. financing bonds
D. project bonds - Risk free rate is subtracted from expected market return is considered as___________?
A. Country risk
B. Diversifiable risk
C. Equity risk premium
D. Market risk premium - In large expansion programs, increased riskiness and flotation cost associated with project can cause_______________?
A. Rise in marginal cost of capital
B. Fall in marginal cost of capital
C. Rise in transaction cost of capital
D. Rise in transaction cost of capital
