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Author Question: You are considering investing in Ford Motor Company. Which of the following are examples of ... (Read 132 times)

codyclark

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You are considering investing in Ford Motor Company. Which of the following are examples of
  diversifiable risk?
 
  I. Risk resulting from possibility of a stock market crash.
  II. Risk resulting from uncertainty regarding a possible strike against Ford.
  III. Risk resulting from an expensive recall of a Ford product.
  IV. Risk resulting from interest rates decreasing.
  A) II, III B) I, II, III, IV C) I and IV D) I only

Question 2

Which of the following statements concerning directors and officers liability insurance (D&O) is (are) true?
 
  I. D&O policies usually cover the personal liability of directors and officers.
  II. D&O policies exclude coverage for claims brought by employees and by stockholders.
  A) I only
  B) II only
  C) both I and II
  D) neither I nor II


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JYan

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