- CFA Exams
- CFA Level I Exam
- Topic 9. Portfolio Management
- Learning Module 37. Economics and Investment Markets
- Subject 5. Equities and the Equity Risk Premium
CFA Practice Question
Consider the following industries. Which industry will tend to exhibit the most volatility in profits and growth?
B. Grocery stores
C. The footwear industry
A. The automotive industry
B. Grocery stores
C. The footwear industry
Correct Answer: A
The profits and growth rates of durable goods industries are typically more volatile than those of non-durable goods industries.
User Contributed Comments 0
You need to log in first to add your comment.