Business risk?is typically described as the exposure a?company?or organization has to a number of factors that may lower the company’s profits, which may trigger a...

60.1K

Verified Solution

Question

Finance

Business risk?is typically described as theexposure a?company?or organization has to a numberof factors that may lower thecompany’s profits, which may trigger a businessfailure.?Although there are many business risks, two majorrisk categories are systematic risksand unsystematic risks.
Respond to the following in a minimum of 175words:
Explain the differences between systematic risksand unsystematic risks.

Briefly discuss two sources of systematic risks andtwo sources of unsystematic risks.

Answer & Explanation Solved by verified expert

3.9 Ratings (367 Votes)

Systematic risks are otherwise known as Market risks are those risks arising due to macro economic factors As these risks affect the entire macro economy such risks cannot be diversified as the entire portfolio would be affected Some of the examples of a See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member