If the risk associated with a company goes down, you would expect the price of its stock to
A) rise.
B) fall.
C) be unaffected.
D) fall to zero.

Question

Quizplus · Accepted Answer

When the risk associated with a company goes down, it means there is less uncertainty and potential downside for investors. This typically leads to increased demand for the company's stock, which can drive up its price.

If the Risk Associated with a Company Goes Down, You