Which of the following is NOT a diversifiable risk?
A) the risk that oil prices rise, increasing production costs
B) the risk that the CEO is killed in a plane crash
C) the risk of a key employee being hired away by a competitor
D) the risk of a product liability lawsuit
Answer: A
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Which of the following is true about a corporation being a general partner in a limited
partnership? A) A corporation can be a general partner in a limited partnership even if it is the only general partner. B) A corporation cannot be a general partner in a limited partnership. C) A corporation can be a general partner in a limited partnership only if it is not the sole general partner in the limited partnership. D) A corporation can be a general partner in a limited partnership only if there is at least one other general partner that is not a corporation.
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Indicate whether the statement is true or false