Discount Department Stores is a national retail chain. The ...

[piesebel]

Discount Department Stores is a national retail chain. The company had one large, central warehouse.
 
  At the suggestion of the risk manager, the company decided to build four smaller regional warehouses so that a loss at the central warehouse would not be a catastrophic blow to the company's distribution system. Splitting the inventory between four regional warehouses illustrates which risk management technique?
  A) duplication
  B) risk transfer
  C) separation
  D) risk avoidance

Question 2

Which of the following statements concerning the selection of risk management techniques and insurance market conditions is (are) true?
 
  I. It's easier to purchase affordable insurance during a soft  market than during a hard market.
  II. Retention is used more during a soft market than during a hard market.
  A) I only
  B) II only
  C) both I and II
  D) neither I nor II

[Dinolord]

Answer to Question 1

Answer: C

Answer to Question 2

Answer: A

[piesebel]

Great answer, keep it coming

[cassie_ragen]

TYSM