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Which one of the following risks is relevant in determining the size of the beta of the shares of EA? Games, the popular computer gaming? manufacturer? EA Games makes titles such as Madden NFL? Football, Fight? Night, Burnout, and Need for Speed.

A. Sega, a? competitor, might release a new version of its football? game, NFL? 2K, before EA can release the new version of Madden NFL.

B. Computer games are a luxury good with high income elasticity of demand. If the economy? weakens, sales will likely fall.

C. Sega is trying to lure away software programmers from EA Games with attractive salary and bonus deals.

D. EA might not be able to renew its exclusive license with the NFL.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92081792

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