Author Question: Laura Evans is risk manager of LMN Company. Laura decided to retain certain property loss exposures. ... (Read 110 times)

faduma

  • Hero Member
  • *****
  • Posts: 528
Laura Evans is risk manager of LMN Company. Laura decided to retain certain property loss exposures. Which of the following is a method that Laura can use to fund the retained property losses?
 
  A) current net income
  B) private insurance
  C) noninsurance transfer
  D) high deductibles

Question 2

Acme Company has three identical manufacturing plants, one on the Texas Gulf Coast, one in southern Alabama, and one in Florida. Each plant is valued at 200 million.
 
  Acme's risk manager is concerned about the damage which could be caused by a single hurricane. The risk manager believes there is an extremely low probability that a single hurricane could destroy two or all three plants because they are located so far apart. What is the probable maximum loss associated with a single hurricane?
  A) 0 million
  B) 200 million
  C) 400 million
  D) 600 million



kescobar@64

  • Sr. Member
  • ****
  • Posts: 324
Answer to Question 1

Answer: A

Answer to Question 2

Answer: B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Certain rare plants containing cyanide include apricot pits and a type of potato called cassava. Fortunately, only chronic or massive ingestion of any of these plants can lead to serious poisoning.

Did you know?

Addicts to opiates often avoid treatment because they are afraid of withdrawal. Though unpleasant, with proper management, withdrawal is rarely fatal and passes relatively quickly.

Did you know?

More than 4.4billion prescriptions were dispensed within the United States in 2016.

Did you know?

Barbituric acid, the base material of barbiturates, was first synthesized in 1863 by Adolph von Bayer. His company later went on to synthesize aspirin for the first time, and Bayer aspirin is still a popular brand today.

Did you know?

Signs and symptoms of a drug overdose include losing consciousness, fever or sweating, breathing problems, abnormal pulse, and changes in skin color.

For a complete list of videos, visit our video library