Which of the Following Statements Is TRUE with Respect to Risk

question 51

Multiple Choice

Which of the following statements is TRUE with respect to risk management and incorporation?

• A)Incorporation is irrelevant to risk management because corporations cannot be held liable.
• B)Incorporation increases the risk of liability because a shareholder of a corporation is personally liable for all of the corporation's torts.
• C)Incorporation completely eliminates the risk of liability because the government is responsible for a corporation's debts.
• D)Incorporation reduces the risk of liability because the doctrine of limited liability usually means that a corporation's debts must be paid by the corporation and not by the people who run the corporation.
• E)Incorporation spreads the risk of liability because if one corporation becomes liable, every other corporation in the same province may be required to pay the debt.

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Definitions:

Postoperative Unit

A specialized hospital area designated for the care and recovery of patients following surgical procedures.

Wound Management

The process of providing care for wounds, including cleaning, protecting, and promoting healing, to prevent infection and ensure proper healing.

Martha Rogers

A nursing theorist who developed the Science of Unitary Human Beings, focusing on the interconnectedness of people and their environments.

Time-Space Continuum

A concept in physics that suggests time and space are interrelated dimensions and not separate entities, which is fundamental to the theory of relativity.