Which statement about a company's cost of risk is (are) true? I. Cost of risk includes insurance premiums and retained losses. II. Reducing the cost of risk increases profitability

A) I only
B) II only
C) both I and II
D) neither I nor II


Answer: C

Business

You might also like to view...

Equipment with an original cost of $75,000 and accumulated depreciation of $20,000 was sold at a loss of$7,000 . As a result of this transaction, cash would

a. increase by $48,000 b. decrease by $7,000 c. increase by $55,000 d. decrease by $27,000

Business

Assume an account receivable confirmation is returned with a note to the auditor describing a difference between your client's records and the customer's records. Clearly describe below two potential non-misstatement timing differences that could cause a discrepancy between a client's receivable records and his/her customer's records. The timing differences you describe should be such that after investigation you would determine that your client's receivable balance is not misstated due to these differences.

What will be an ideal response?

Business

Tulip Company purchased equipment for $58,000 on January 1, 2017. On December 31, 2019, the equipment was sold for $23,000. Accumulated Depreciation as of December 31, 2019 was $32,000. Calculate gain or loss on the sale.

A) $3000 gain B) $3000 loss C) $32,000 loss D) no gain no loss

Business

Answer the following statements true (T) or false (F)

1. Leadership is broader in scope than management. 2. Leading is a function of managing, along with planning, organizing, and controlling. 3. The terms leader and manager are interchangeable. 4. While leadership has been a subject of inquiry for centuries, many see leadership theory as an area of research that is still underdeveloped.

Business