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Indicate whether the following would give rise to unsystematic or systematic risk. 10 points a. Annual inflation unexpectedly increased to 8.6% in May 2022 which was the highest since December of 1981 and compared to market forecasts of 8.3%. Inflation is expected to remain higher than usual for the rest of 2022. b. Home Department Inc.'s recently issued earnings report shows a 10% decline in earnings consistent with analysts' forecasts. c. Hill Country Inc.'s directors died in a recent plane crash. d. The Congressional Budget Office estimated that real gross domestic product (GDP) will grow by 3.1% in 2022. e. Congress approves changes in the tax code that will result in an increase in the marginal corporate tax rate to finance the country's budget deficit. f. Several Wells Fargo's retail bankers over 3.5 million fictitious savings and checking accounts between January 2009 and September 2016 due to pressure to meet account opening targets. The accounts were created without the approval and knowledge of customers. The Bank was forced to settle with the Department of Justice and the Securities and Exchange Commission for $3 billion. g. The COVID-19 pandemic impact on businesses and households resulted in increased unemployment and business closures during 2022. In 2022 however, the economy is showing reductions in these indicators. h. The 2020 Atlantic Hurricane season caused an estimated $60 to $65 billion damage to the United States according to AccuWeather Report. The 2022 Atlantic Hurricane season is forecasted to be equally as active and intense as 2020. i. Colonial Pipeline, an American oil pipeline system in Houston, Texas, experienced a ransomware cybersecurity incident in 2021 which resulted in the company paying a ransom of $5 million to the hackers to release the attack on its computer equipment that manages its pipeline. j. In June 2022, the Federal Reserve increased benchmark interest rates by 0.75% consequent on managing the effects of inflation. This was the largest increase in interest rates in almost 30 years

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