If you own a share of stock in a company and the risk associated with its business rises you would expect
A) a capital gain.
B) a capital loss.
C) a higher dividend.
D) a bubble.

Question

Quizplus · Accepted Answer

If the risk associated with a company's business rises, it means that the company may face financial difficulties or potential losses in the future. This often leads to a decrease in the value of the company's stock, resulting in a capital loss for the shareholder.

If You Own a Share of Stock in a Company