The Principle of Indemnity States That the Insured Can Be

question 92

True/False

The principle of indemnity states that the insured can be compensated for an amount equal to his economic loss.

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Definitions:

Bonds Outstanding

The total amount of bonds that are issued by a corporation or government entity and are currently in the hands of investors.

Leverage Ratio

A financial measurement that compares the amount of a company's debt to its assets, equity, or earnings.

Interest-Burden Ratio

A financial ratio indicating the proportion of profits remaining after paying interest expenses, used to measure a company's ability to manage its interest obligations.

Profit Margin

A financial ratio indicating the percentage of revenue that exceeds the cost of goods sold, representing the proportion of each dollar of revenue that constitutes net profit.