CFA Practice Question
The market risk of a project is measured by:
A. the project's impact on the systematic risk of the firm's stock.
B. the variability of the project's projected returns.
C. the project's impact on the unsystematic risk of the firm's stock.
Explanation: Remember that it is the systematic risk that you must worry about.
User Contributed Comments 2
| User | Comment |
|---|---|
| ontrack | bacause unsystematic risk can be diversified away |
| Procbaby1 | Bproject=Basset..... |