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Which one of the following is an example of a nondiversifiable risk? [A] A poorly managed firm suddenly goes out of business due to lack of sales [B] A key employee of a firm suddenly resigns and accepts employment with a key competitor [C] A well respected chairman of the Federal Reserve suddenly resigns [23] Beta values are highly dependent on the covariance of a security with the market. [A] True [B] False

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Category:- Financial Management
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