Some Jurisdictions Have Instituted "No Fault" Insurance Programs

question 144

Multiple Choice

Some jurisdictions have instituted "no fault" insurance programs. Which of the following statements is true?

• A) Under common law, if a person is not at fault, damages can always be recovered in tort.
• B) No fault insurance means no compensation for loss.
• C) No fault insurance assumes there is a voluntary assumption of risk.
• D) There is always an assumption of contributory negligence under no fault insurance programs.
• E) Under no fault programs, people are treated the same and compensated for their injuries whether they are at fault or not.

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Definitions:

Overapplied Overhead

A condition where the allocated manufacturing overhead costs exceed the actual overhead costs incurred.

FIFO Cost Flow

A method used in accounting for inventory valuation where the first goods purchased are the first goods sold, standing for First-In, First-Out.

Finished Goods Inventory

Goods that have been fully manufactured but remain unsold or undistributed to purchasers.

Cost Of Goods Sold

The immediate expenses linked to the manufacturing of products a company sells.