which of the following statements about risk is false course hero

Can the objective risk be the same for two groups?

If the chance of loss is identical for two groups, the objective risk must be the same. II. Two individuals may perceive differently the risk inherent in a given activity. A) I only

What is an example of risk retention hazard?

D) risk retention. A ABC Insurance Company sells auto insurance in one state. Recently, the state legislature passed a law that limits the use of an individual's credit history by insurers when selecting applicants to insure. This change in law will increase the possibility of unprofitable results for ABC. This type of hazard is an example of

What type of risk is Ben concerned about?

Ben is concerned that if he injures someone or damages someone's property he could be held legally responsible and required to pay damages. This type of risk is called a A) speculative risk. B) liability risk. C) nondiversifiable risk. D) property risk. B ) MLX Drug Company would like to market a new hypertension drug.

What is the difference between objective risk and diversifiable risk?

If the chance of loss is identical for two groups, the objective risk must be the same. II. Two individuals may perceive differently the risk inherent in a given activity. A) I only B) II only C) both I and II D) neither I nor II B A risk that affects only individuals or small groups and not the entire economy is called a A) diversifiable risk.

What is risk in math?

What is speculative risk?

Is Taylor Tobacco Company liable for damages?

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Chapter 1 practice test Flashcards - Questions and Answers - Quizlet

Katelyn was just named risk manager of ABC company. she has decided to create a risk management program which considers all of the risks faced by ABC - pure, speculative, operational, and strategic - in a single risk management program.. such a program is called a(n):

Insurance Test 1 Flashcards | Quizlet

Study with Quizlet and memorize flashcards containing terms like Insurance authors have traditionally defined risk as: (a) any situation where probability of loss = 1. (b) any situation where probability of loss = 0. (c) uncertainty concerning occurrence of loss. (d) the probability of a loss occurring., Uncertainty based on a person's mental condition or state of mind is known as: (a ...

TEST 1 Flashcards | Chegg.com

Tyndal Products Company produces cereal. The company has entered into contracts to deliver 500,000 boxes of cereal during the next 18 months. The company is concerned that the prices of two ingredients, corn and wheat, may increase over the next 18 months.

What is risk in math?

Traditionally, risk has been defined as#N#A) any situation in which the probability of loss is one. #N#B) any situation in which the probability of loss is zero.#N#C) uncertainty concerning the occurrence of loss.#N#D) the probability of a loss occurring.

What is speculative risk?

One of the speculative financial risks considered in an enterprise risk management program is the risk of loss because of adverse changes in commodity prices, interest rates, foreign exchange rates, and the value of money. This risk is called

Is Taylor Tobacco Company liable for damages?

Taylor Tobacco Company is concerned that the company may be held liable in a court of law and ordered to pay a large damage award to a smoker harmed by the company's cigarettes. The characteristics of the judicial system that increase the frequency and severity of loss are known as

What is risk in math?

Traditionally, risk has been defined as#N#A) any situation in which the probability of loss is one. #N#B) any situation in which the probability of loss is zero.#N#C) uncertainty concerning the occurrence of loss.#N#D) the probability of a loss occurring.

What is speculative risk?

One of the speculative financial risks considered in an enterprise risk management program is the risk of loss because of adverse changes in commodity prices, interest rates, foreign exchange rates, and the value of money. This risk is called

Is Taylor Tobacco Company liable for damages?

Taylor Tobacco Company is concerned that the company may be held liable in a court of law and ordered to pay a large damage award to a smoker harmed by the company's cigarettes. The characteristics of the judicial system that increase the frequency and severity of loss are known as