This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: An insurance company estimates its objective risk for 10,000 exposures to be 10 percent. Assuming ... (Read 213 times)

burchfield96

  • Hero Member
  • *****
  • Posts: 610
on: Jul 11, 2018
An insurance company estimates its objective risk for 10,000 exposures to be 10 percent. Assuming the probability of loss remains the same, what would happen to the objective risk if the number of exposures were to increase to 1 million?
 
  A) It would decrease to 1 percent.
  B) It would decrease to 5 percent.
  C) It would remain the same.
  D) It would increase to 20 percent.

Question 2

Uncertainty based on a person's mental condition or state of mind is known as
 
  A) objective risk.
  B) subjective risk.
  C) objective probability.
  D) subjective probability.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

nicoleclaire22

  • Sr. Member
  • ****
  • Posts: 318
Reply #1 on: Jul 11, 2018
Answer to Question 1

Answer: A

Answer to Question 2

Answer: B


burchfield96

  • Member
  • Posts: 610
Reply 2 on: Jul 11, 2018
YES! Correct, THANKS for helping me on my review

ultraflyy23

  • Member
  • Posts: 312
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

Thyroid conditions cause a higher risk of fibromyalgia and chronic fatigue syndrome.

Did you know?

Certain chemicals, after ingestion, can be converted by the body into cyanide. Most of these chemicals have been removed from the market, but some old nail polish remover, solvents, and plastics manufacturing solutions can contain these substances.

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

Your heart beats over 36 million times a year.

Did you know?

Urine turns bright yellow if larger than normal amounts of certain substances are consumed; one of these substances is asparagus.

Major Risk Factors for Hypertension Major Risk Factors for Hypertension
Risk & Aseptic Processing - RABs Filling Line Risk & Aseptic Processing - RABs Filling Line
How to solve any percent concentration problem How to solve any percent concentration problem
Improving your flexibility can help you reduce muscle soreness and lower your risk of injury Improving your flexibility can help you reduce muscle soreness and lower your risk of injury
Geese continued to follow a human around assuming their actual mothers Geese continued to follow a human around assuming their actual mothers
Risk of Down Syndrome (Trisomy 21) by Maternal Age Risk of Down Syndrome (Trisomy 21) by Maternal Age
Video: Carbohydrate digestion (brush border enzymes, end products) & Carb absorption (fructose, galactose)

For a complete list of videos, visit our video library