A Resource Allocation Decision May Be Intended to Avoid a Future

question 4

True/False

A resource allocation decision may be intended to avoid a future problem rather than correct a current problem.

---

Definitions:

Property Insurance

Insurance that provides protection against most risks to property, such as fire, theft, and some weather damage.

Consideration

The value (such as money, a service, or a promise) that is given by one party to another in exchange for something else, forming a necessary component of a legally binding contract.

Premium

The amount paid for an insurance policy.

Peril

A specific risk or cause of loss covered by an insurance policy, such as fire, theft, or natural disaster.