Explain the differences between systematic risks and unsystematic risks.
Business risk is typically described as the exposure a company or organization has to a number of factors that may lower the company’s profits, which may trigger a business failure. Although there are many business risks, two major risk categories are systematic risks and unsystematic risks.
Respond to the following in a minimum of 450 words:
- Explain the differences between systematic risks and unsystematic risks. (225 words)
- Briefly discuss two sources of systematic risks and two sources of unsystematic risks. (225 words)
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