________ Is One of the Most Common Methods to Reduce

question 65

Multiple Choice

________ is one of the most common methods to reduce the risks related to business liability,business interruption,or loss of key personnel.

• A)Management
• B)Hedging
• C)Insurance
• D)Diversification
• E)Working capital management

---

Definitions:

Shareholders

Individuals or entities that own shares in a corporation, giving them ownership interest and certain rights in the company.

Subrogation

The legal right for an insurer to pursue a third party that caused an insurance loss to the insured.

Subscription

A payment for a service or product that is provided over a period of time, typically regularly (such as monthly or annually).

Watered Stocks

Shares of a company that have been issued at a price far greater than the asset value of the company, leading to an inflation of the company's market value without an increase in actual capital.