Multiple choice

Which of the following is/are example(s) of pure risk in business?

a. Fire in a manufacturing unit b. Change in fashion c. Fluctuation in demand of a product

  1. Only a

  2. Only b

  3. Only c

  4. Only b and c

  5. All of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

This is a pure risk. Pure risks involve only the possibility of loss or no loss. The chance of fire, theft or strike are examples of pure risks. Their occurrence may result in loss.

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