Employees Should Consider Risk Assumption for Certain Health Risks Because

question 11

Multiple Choice

Employees should consider risk assumption for certain health risks because:

• A)these are covered by Social Security.
• B)they are required to pay health care costs when their insurance coverage lapses.
• C)they would rather pay small amounts from savings than higher premiums to cover them.
• D)they need not look for ways to avoid exposure to risks before they occur.
• E)they will eliminate some or all of the factors from their lifestyle and reduce their chances of becoming ill.

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Definitions:

Expected Rate of Return

The profit or loss one anticipates on an investment relative to the original investment amount.

Total Investment

The sum of all financial resources allocated towards a particular investment, project, or portfolio.

Price of Capital

The cost of using capital to produce goods or services, often represented by the interest rate on borrowed funds or the opportunity cost of using one's own funds.

Future Profits

Expected earnings or gains in the future, often incorporating risk and uncertainty predictions.