An example of event risk is:
A) inflation.
B) a corporate takeover.
C) a newspaper article about the economy.
D) changing seasons.
E) capital growth.

Question

Quizplus · Accepted Answer

A corporate takeover is an example of event risk because it is a specific, unexpected event that can have a significant impact on the value and performance of a company's stock. Inflation, newspaper articles, changing seasons, and capital growth are not specific events that can directly impact a company's stock price.

An Example of Event Risk Is