Which of the Following Risk Strategies Is Represented by the Purchase

question 62

Multiple Choice

Which of the following risk strategies is represented by the purchase of insurance?

• A) Mitigate
• B) Accept
• C) Transfer
• D) Avoid

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Definitions:

High-Quality Materials

Materials that meet strict standards in terms of durability, reliability, and performance, contributing to the production of superior finished goods.

On-Time Deliveries

A measure of the percentage of orders delivered to customers within the agreed upon time frame, indicating the efficiency and reliability of the company's distribution.

Non-Value-Added

Activities or processes that do not add any functional value to a product or service from the customer's perspective.

Lead Time

The amount of time that elapses between the initiation of a process and its completion, often used in reference to the time it takes for goods to be delivered or services to be provided.