Which of the Following Is a Potential Example of the Risky

question 22

Multiple Choice

Which of the following is a potential example of the risky shift?

• A)A manager quit her secure job in a large company to start her own business even though she had to mortgage her house.
• B)Steve decided to take an elective course in statistics even though he wasn't very good at quantitative subjects.
• C)A drug company put a new drug on the market even though it was possible that the drug would provoke bad side effects.
• D)Three partners were uncertain about expanding their business.After discussing the matter, they decided to expand even though the economy was bad.
• E)The board of directors voted to proceed with the expansion even though it would cost $10 million more than originally planned.

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Definitions:

Consequential Damages

Refers to indirect damages that do not flow directly from the act but are a consequence of the initial act, such as loss of profits.

Prima Facie Unconscionable

A term describing terms or agreements that appear to be shockingly unfair or unjust on the face of it.

Consumer Goods

Items produced for personal or household use, typically not intended for resale or further production.

Commercial Losses

Financial losses experienced by a business entity due to various factors such as theft, damage, or unfavorable business conditions.