Jim and Paula Franklin started a dry cleaning business. The ...

[nautica902]

Jim and Paula Franklin started a dry cleaning business. The business may be successful or it may fail. The type of risk that is present when either a profit or loss could occur is called
 
  A) pure risk.
  B) subjective risk.
  C) nondiversifiable risk.
  D) speculative risk.

Question 2

All of the following are characteristics of the liability risk that most people face EXCEPT
 
  A) a lien may be placed on your income and assets to satisfy a legal judgment.
  B) substantial legal expenses may be incurred defending the claim.
  C) there is no upper limit on the amount of the loss.
  D) owning liability insurance eliminates the possibility of being held legally liable.

[abro1885]

Answer to Question 1

Answer: D

Answer to Question 2

Answer: D

[nautica902]

Correct answers!

[abro1885]

Great! Please up vote