To Protect the Firm Against the Loss of Earnings If

question 20

Multiple Choice

To protect the firm against the loss of earnings if the business operations are disrupted due to fire, accident or some other insured peril, a firm would purchase

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

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Definitions:

Objectives

Specific, measurable, achievable, relevant, and time-bound goals that individuals or groups set to achieve.

Constraints

Limitations or restrictions that affect decisions or actions within a process.

Organization Characteristics

Attributes or features that define the distinctive nature and functioning of an organization, such as its culture, structure, and management practices.

External Environment

Involves the surrounding conditions, forces, or circumstances outside an organization that affect its operations and strategies.