Which of the following sources of risk are diversifiable in


Which of the following sources of risk are diversifiable in nature?

1. A labor strike against Boeing Company

2. An increase in inflation rates

3. An increase in international oil prices

4. Bankruptcy of a mortgage company in Arizona

5. Unexpected entry of a new competitor into the market

a) 1, 2, and 3

b) 1, 4, and 5

c) 4 and 5

d) 2 and 3

e) 1, 3, and 5

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Financial Management: Which of the following sources of risk are diversifiable in
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