Insurance That Compensates for the Loss or Unavoidable Absence of Crucial

question 10

Multiple Choice

Insurance that compensates for the loss or unavoidable absence of crucial employees in the firm is called:

• A)key personnel insurance.
• B)business liability insurance.
• C)property insurance.
• D)business interruption insurance.

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Definitions:

Dissolution

The change in the relation of partners caused by any partner’s ceasing to be associated with the carrying on of the partnership’s business.

Board of Directors

A group of individuals elected to represent shareholders and direct the affairs of a corporation, setting its strategic direction.

Dissenting Shareholders

Shareholders who do not agree with certain corporate actions, such as mergers and acquisitions, and who may have specific rights to demand the corporation buy back their shares at a fair value.

Appraisal Rights

Legal rights that allow shareholders to demand an independent evaluation of a company's shares during certain transactions.