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Econ 350 Certification Exam Questions and CORRECT Answers

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A company's stock price jumped when it announced that its revenue had decreased because of the quality issues of its products. This is an example of ________.Unsystematic risk If the Federal Reserve were to change from an expansionary to a contractionary monetary policy, this would be an example of ________.Systematic risk The S&P 500 index delivered a return of 10%, 15%, 15%, and -30% over four successive years. What is the arithmetic average annual return for four years?2.50% HKP Industrial had stock prices of $33, $33, $38, $36, and $28 at the end of the last five quarters. If IGM pays a dividend of $3 at the end of each quarter, what is the annual realized return on IGM?19.78

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