瑞达 Rejda 保险教材英文练习题01

PrinciplesofRiskManagementandInsurance,11e(Rejda)Chapter1 RiskinOurSociety1)Traditionally,riskhasbeendefinedasA)anysituationinwhichtheprobabilityoflossisone.B)anysituationinwhichtheprobabilityoflossiszero.C)uncertaintyconcerningtheoccurrenceofloss.D)theprobabilityofalossoccurring.Answer: CQuestionStatus: PreviousEdition2)ObjectiveriskisdefinedasA)theprobabilityofloss.B)therelativevariationofactuallossfromexpectedloss.C)uncertaintybasedonaperson'smentalconditionorstateofmind.D)thecauseofloss.Answer: BQuestionStatus: PreviousEdition3)Aninsurancecompanyestimatesitsobjectiveriskfor10,000exposurestobe10percent.Assumingtheprobabilityoflossremainsthesame,whatwouldhappentotheobjectiveriskifthenumberofexposuresweretoincreaseto1million?A)Itwoulddecreaseto1percent.B)Itwoulddecreaseto5percent.C)Itwouldremainthesame.D)Itwouldincreaseto20percent.Answer: AQuestionStatus: PreviousEdition4)Uncertaintybasedonaperson'smentalconditionorstateofmindisknownasA)objectiverisk.B)subjectiverisk.C)objectiveprobability.D)subjectiveprobability.Answer: BQuestionStatus: PreviousEdition5)Thelong-runrelativefrequencyofaneventbasedontheassumptionofaninfinitenumberofobservationswithnochangeintheunderlyingconditionsiscalledA)objectiveprobability.B)objectiverisk.C)subjectiveprobability.D)subjectiverisk.Answer: AQuestionStatus: PreviousEdition6)Whichofthefollowingstatementsaboutaprioriprobabilitiesiscorrect?A)Theyaresubjectiveprobabilitiesbasedonambiguityinthewayprobabilityisperceived.B)Theyaresubjectiveprobabilitiesthatmayvaryamongindividualsbecauseoffactorssuchasage,gender,education,andtheuseofalcohol.C)Theyareobjectiveprobabilitiesthatcanbedeterminedbydeductivereasoning.D)Theyareobjectiveprobabilitiesthatcanbedeterminedbysubjectivereasoning.Answer: CQuestionStatus: PreviousEdition7)Anindividual'spersonalestimateofthechanceoflossisA)anobjectiveprobability.B)anobjectiverisk.C)asubjectiveprobability.D)anaprioriprobability.Answer: CQuestionStatus: PreviousEdition8)AperilisA)amoralhazard.B)thecauseofaloss.C)aconditionwhichincreasesthechanceofaloss.D)theprobabilitythatalosswilloccur.Answer: BQuestionStatus: PreviousEdition9)AnearthquakeisanexampleofaA)moralhazard.B)peril.C)physicalhazard.D)objectiverisk.Answer: BQuestionStatus: PreviousEdition10)DensefogthatincreasesthechanceofanautomobileaccidentisanexampleofaA)speculativerisk.B)peril.C)physicalhazard.D)moralhazard.Answer: CQuestionStatus: PreviousEdition11)FakinganaccidenttocollectinsuranceproceedsisanexampleofaA)physicalhazard.B)objectiverisk.C)moralhazard.D)attitudinalhazard.Answer: CQuestionStatus: Revised12)CarelessnessorindifferencetoalossisanexampleofA)physicalhazard.B)objectiveprobability.C)moralhazard.D)attitudinalhazard.Answer: DQuestionStatus: Revised13)Somecharacteristicsofthejudicialsystemandregulatoryenvironmentincreasethefrequencyandseverityofloss.ThishazardiscalledA)moralhazard.B)physicalhazard.C)attitudinalhazard.D)legalhazard.Answer: DQuestionStatus: Revised14)TaylorTobaccoCompanyisconcernedthatthecompanymaybeheldliableinacourtoflawandorderedtopayalargedamageaward.ThecharacteristicsofthejudicialsystemthatincreasethefrequencyandseverityoflossesareknownasA)moralhazard.B)particularrisk.C)speculativerisk.D)legalhazard.Answer: DQuestionStatus: PreviousEdition15)AphrasethatencompassesallofthemajorrisksfacedbyabusinessfirmisA)financialrisk.B)speculativerisk.C)enterpriserisk.D)purerisk.Answer: CQuestionStatus: PreviousEdition16)Whichofthefollowingstatementsaboutfinancialriskis(are)true?I.  Enterpriseriskdoesnotincludefinancialrisk.II.  Financialriskiseasilyaddressedthroughthepurchaseofinsurance.A)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: DQuestionStatus: PreviousEdition17)AllofthefollowingareconsideredfinancialrisksEXCEPTA)thedeclineinthevalueofabondportfoliobecauseofrisinginterestrates.B)increasedcostofproductionbecauseofrisingcommodityprices.C)lossofmoneybecauseofadversemovementsincurrencyexchangerates.D)destructionofaproductionfacilitycausedbyanexplosion.Answer: DQuestionStatus: PreviousEdition18)KatelynwasjustnamedRiskManagerofABCCompany.ShehasdecidedtocreateariskmanagementprogramwhichconsidersalloftherisksfacedbyABC-pure,speculative,operational,andstrategic-inasingleriskmanagementprogram.Suchaprogramiscalleda(n)A)financialriskmanagementprogram.B)enterpriseriskmanagementprogram.C)fundamentalriskmanagementprogram.D)consequentialriskmanagementprogram.Answer: BQuestionStatus: PreviousEdition19)ApureriskisdefinedasasituationinwhichthereisA)onlythepossibilityoflossornoloss.B)onlythepossibilityofprofit.C)apossibilityofneitherprofitnorloss.D)apossibilityofeitherprofitorloss.Answer: AQuestionStatus: PreviousEdition20)TheprematuredeathofanindividualisanexampleofaA)purerisk.B)speculativerisk.C)fundamentalrisk.D)physicalhazard.Answer: AQuestionStatus: PreviousEdition21)Whichofthefollowingstatementsaboutspeculativerisksistrue?A)Theyarealmostalwaysinsurablebyprivateinsurers.B)Theyaremoreeasilypredictablethanpurerisks.C)Theymaybenefitsocietyeventhoughalossoccurs.D)Theyinvolveonlyachanceofloss.Answer: CQuestionStatus: Revised22)Anautomobilethatisatotallossasaresultofacollisionisanexampleofwhichofthefollowingtypesofrisk?I.  SpeculativeriskII.  DiversifiableriskA)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: BQuestionStatus: Revised23)AllofthefollowingareprogramstoinsurefundamentalrisksEXCEPTA)federallysubsidizedfloodinsurance.B)autophysicaldamageinsurance.C)SocialSecurity.D)unemploymentinsurance.Answer: BQuestionStatus: PreviousEdition24)AllofthefollowingareexamplesofpersonalrisksEXCEPTA)poorhealth.B)unemployment.C)prematuredeath.D)flood.Answer: DQuestionStatus: PreviousEdition25)Whichofthefollowingisareasonwhyprematuredeathmayresultineconomicinsecurity?I.  Additionalexpensesassociatedwithdeathmaybeincurred.II.  Theincomeofthedeceasedperson'sfamilymaybeinadequatetomeetitsbasicneeds.A)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: CQuestionStatus: PreviousEdition26)Whichofthefollowingareoftenconsequencesoflong-termdisability?I.  ContinuingmedicalexpensesII.  LossorreductionofemployeebenefitsA)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: CQuestionStatus: PreviousEdition27)AllofthefollowingareexamplesofdirectpropertylossesEXCEPTA)thetheftofaperson'sjewelry.B)thedestructionofafirm'smanufacturingplantbyanearthquake.C)thecostofrentingasubstitutevehiclewhileacollision-damagedcarisbeingrepaired.D)thevandalismofaperson'sautomobile.Answer: CQuestionStatus: PreviousEdition28)Theextraexpenseincurredbyabusinesstostayinoperationfollowingafireisanexampleofa(n)A)fundamentalrisk.B)speculativerisk.C)directloss.D)indirectloss.Answer: DQuestionStatus: PreviousEdition29)Whichofthefollowingstatementsaboutliabilityrisksis(are)true?I.  Futureincomeandassetscanbeattachedtopayjudgmentsifinadequateinsuranceiscarried.II.  Thereisanupperlimitontheamountofloss.A)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: AQuestionStatus: PreviousEdition30)AllofthefollowingareburdenstosocietybecauseofthepresenceofriskEXCEPTA)Thesizeofanemergencyfundmustbeincreased.B)Individualsmayprofitfromacceptingaspeculativerisk.C)Societyisdeprivedofcertaingoodsandservices.D)Mentalfearandworryarepresent.Answer: BQuestionStatus: PreviousEdition31)Losscontrolincludeswhichofthefollowing?I.  LossreductionII.  LosspreventionA)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: CQuestionStatus: PreviousEdition32)FollowinggoodhealthhabitscanbecategorizedasA)lossprevention.B)riskretention.C)noninsurancetransfer.D)personalinsurance.Answer: AQuestionStatus: Revised33)Fromtheinsured'sperspective,theuseofdeductiblesininsurancecontractsisanexampleofA)risktransfer.B)losscontrol.C)riskavoidance.D)riskretention.Answer: DQuestionStatus: PreviousEdition34)Theuseoffire-resistivematerialswhenconstructingabuildingisanexampleofA)risktransfer.B)losscontrol.C)riskavoidance.D)riskretention.Answer: BQuestionStatus: PreviousEdition35)AllofthefollowingstatementsaboutriskretentionaretrueEXCEPTA)Itmaybeusedintentionallyifcommercialinsuranceisunavailable.B)Itmaybeusedpassivelybecauseofignorance.C)Itsuseismostappropriateforlow-frequency,high-severitytypesofrisks.D)Itsuseresultsincostsavingsiflossesarelessthanthecostofinsurance.Answer: CQuestionStatus: PreviousEdition36)AllofthefollowingaremethodsofnoninsurancetransferEXCEPTA)enteringintoahold-harmlessagreement.B)avoidingdangerousactivities.C)hedgingriskusingfuturescontracts.D)incorporatingabusiness.Answer: BQuestionStatus: PreviousEdition37)Curtborrowedmoneyfromabanktopurchaseafishingboat.Hepurchasedpropertyinsuranceontheboat.Curthaddifficultymakingloanpaymentsbecausehedidnotcatchmanyfish,andfishpriceswerelow.Curtintentionallysunktheboat,collectedfromhisinsurer,andpaidofftheloanbalance.ThisscenarioillustratestheproblemofA)adverseselection.B)moralhazard.C)nondiversifiablerisk.D)attitudinalhazard.Answer: BQuestionStatus: Revised38)Jennaopenedasuccessfulrestaurant.Onenight,aftertherestauranthadclosed,afirestartedwhentheelectricalsystemmalfunctioned.Inadditiontothephysicaldamagetotherestaurant,Jennaalsolostprofitsthatcouldhavebeenearnedwhiletherestaurantwasclosedforrepairs.ThelostprofitsareanexampleofA)directloss.B)nondiversifiablerisk.C)speculativerisk.D)indirectloss.Answer: DQuestionStatus: Revised39)Bradstartedapestcontrolbusiness.Toprotecthispersonalassetsagainstliabilityarisingoutofthebusiness,Bradincorporatedthebusiness.Brad'suseofthecorporateformoforganizationtoshieldagainstpersonalliabilityclaimsillustratesA)fundamentalrisk.B)noninsurancetransfer.C)riskretention.D)objectiverisk.Answer: BQuestionStatus: PreviousEdition40)ABCInsuranceCompanyplanstosellhomeownersinsuranceinfiveWesternstates.ABCexpectsthat8homeownersoutofevery100,onaverage,willreportclaimseachyear.ThevariationbetweentherateoflossthatABCexpectstooccurandtherateoflossthatactuallydoesoccuriscalledA)objectiveprobability.B)subjectiveprobability.C)objectiverisk.D)subjectiverisk.Answer: CQuestionStatus: PreviousEdition41)WilliamsCompanyinstalledsmokedetectors,asprinklersystem,andfireextinguishersinitsnewmanufacturingfacility.ThesedevicesareallexamplesofA)losscontrol.B)noninsurancetransfer.C)riskavoidance.D)riskretention.Answer: AQuestionStatus: PreviousEdition42)TyndalProductsCompanyproducescereal.Thecompanyhasenteredintocontractstodeliver500,000boxesofcerealduringthenext18months.Thecompanyisconcernedthatthepricesoftwoingredients,cornandwheat,mayincreaseoverthenext18months.Thecompanyusedgrainfuturescontractstohedgethepriceriskassociatedwiththesecommodities.Tyndal'suseofhedgingillustrateswhichriskmanagementtechnique?A)noninsurancetransferB)riskavoidanceC)riskretentionD)riskassumptionAnswer: AQuestionStatus: PreviousEdition43)Cathy'scarhitapatchoficeontheroad.Thecarskiddedofftheroadandhitatree.Thepresenceoficeontheroadisbestdescribedasa(n)A)peril.B)subjectiverisk.C)physicalhazard.D)indirectloss.Answer: CQuestionStatus: PreviousEdition44)JimandPaulaFranklinstartedadrycleaningbusiness.Thebusinessmaybesuccessfuloritmayfail.ThetypeofriskthatispresentwheneitheraprofitorlosscouldoccuriscalledA)purerisk.B)subjectiverisk.C)nondiversifiablerisk.D)speculativerisk.Answer: DQuestionStatus: Revised45)Benisconcernedthatifheinjuressomeoneordamagessomeone'spropertyhecouldbeheldlegallyresponsibleandrequiredtopaydamages.ThistypeofriskiscalledaA)speculativerisk.B)liabilityrisk.C)nondiversifiablerisk.D)propertyrisk.Answer: BQuestionStatus: Revised46)MLXDrugCompanywouldliketomarketanewhypertensiondrug.WhiletheFoodandDrugAdministration(FDA)wastestingthedrug,itdiscoveredthatthedrugproducedaharmfulsideeffect.WhenMLXlearnedoftheFDA'stestresult,MLXabandoneditsplantoproduceanddistributethedrug.MLX'sreactionillustratesA)riskavoidance.B)hedging.C)risktransfer.D)riskretention.Answer: AQuestionStatus: PreviousEdition47)ABCHealthInsuranceCompanysellshealthinsuranceinonestate.Recently,thatstate'slegislaturepassedalawforbiddinghealthinsurersfromconsideringanindividual'shealthhistorywhenselectingapplicantstoinsure.ThischangeinlawwillincreasethepossibilityofunprofitableresultsforABC.ThistypeofhazardisanexampleofA)physicalhazard.B)legalhazard.C)moralhazard.D)attitudinalhazard.Answer: BQuestionStatus: Revised48)AllofthefollowingarecharacteristicsoftheliabilityriskthatmostpeoplefaceEXCEPTA)alienmaybeplacedonyourincomeandassetstosatisfyalegaljudgment.B)substantiallegalexpensesmaybeincurreddefendingtheclaim.C)thereisnoupperlimitontheamountoftheloss.D)owningliabilityinsuranceeliminatesthepossibilityofbeingheldlegallyliable.Answer: DQuestionStatus: PreviousEdition49)Whichofthefollowingstatementsaboutchanceoflossandriskis(are)true?I.  Ifthechanceoflossisidenticalfortwogroups,theobjectiveriskmustbethesame.II.  Twoindividualsmayperceivedifferentlytheriskinherentinagivenactivity.A)IonlyB)IIonlyC)bothIandIID)neitherInorIIAnswer: BQuestionStatus: PreviousEdition50)AriskthataffectsonlyindividualsorsmallgroupsandnottheentireeconomyiscalledaA)diversifiablerisk.B)purerisk.C)speculativerisk.D)nondiversifiablerisk.Answer: AQuestionStatus: New51)AllofthefollowingarecommercialrisksEXCEPTA)thelossofbusinessincome.B)theriskofinsufficientretirementincome.C)theriskofbeingsued.D)theriskofpropertydamage.Answer: BQuestionStatus: New