Multiple choice

Directions: State whether the following statement is True Or False.

In case of uncertainty, the firm can anticipate the future loss.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Uncertainty implies that the future is unpredictable and probabilities cannot be assigned to outcomes. Therefore, a firm cannot accurately anticipate or quantify future losses under true uncertainty.

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