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3 years ago

What is the second rule of risk management

Business

2 answers:

Molodets [167]3 years ago

8 0

Answer:

The second rule of Risk Management is to Know the Risk Involved.

Explanation:

Risk Management is the process of managing risks involved in business or may be at individual level by identifying the risks involved and the measures taken to avoid or minimize that risk. There are three simplest rules of Managing the Risk. First of all, you need to know what you are doing. Second step is to find out or to Know the risk involved. In this stage you identify and evaluate the severity of risk. Then comes the third and final step in which you develop measures to avoid or minimize as much risk as possible. So in this way, risks are managed.

tresset_1 [31]3 years ago

6 0

Measure probability and severity

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One problem in the interstate trucking industry is the number of trucks that return after making a delivery with an empty truck.

garik1379 [7]

Answer: Yield management pricing

Explanation It can be defined as the strategy in which the company studies and influence consumer behavior with the intent of maximizing profit with the limited amount of resources available.

In the given case, the truckers have limited time and they are getting extra revenue from the website. This will result in maximization of their profit.

Thus, from the above we can conclude that the right answer is option E.

5 0

3 years ago

Fred and Barney started a partnership. Fred invested $20,000 in the business and Barney invested $32,000. The partnership agreem

svet-max [94.6K]

Answer:

The amount of income assigned to the two partners would be $18,100 and $19,900 respectively.

Explanation:

For computing the amount of income assigned to the two partners, we have to do the following calculations which are shown below:

1. Dividend amount for each partner:

For Fred = Invested amount × rate of return

= $20,000 × 15%

=$3,000

For Barney = Invested amount × rate of return

= $32,000 × 15%

= $4,800

The total dividend amount equals to

= Fred dividend + barney dividend

= $3,000 + $4,800

= $7,800

2. Now compute the remaining amount, and divide it in the sharing ratio

So, the remaining amount would be

= Partnership income - total dividend amount

= $38,000 - $7,800

= $30,200

So the Fred income would be = $30,200 × 50% = $15,100

And, the barney income would be = $30,200 × 50% = $15,100

So, the amount of income:

For Fred = Dividend income + remaining income

= $3,000 + $15,100

= $18,100

For Barney = Dividend income + remaining income

=$4,800 + $15,100

= $19,900

Hence, the amount of income assigned to the two partners would be $18,100 and $19,900 respectively.

8 0

3 years ago

X Company and Y Company, operating on opposite sides of the country, manufacture equipment that is virtually identical except fo

Makovka662 [10]

Answer:

$14,000

Explanation:

Company X Company Y

cost per equipment $75,000 cost per equipment $65,000

sales price $105,000 sales price $91,000

Both companies sold one unit and they exchanged clients in order to reduce shipping cost:

company X income = $105,000 (selling price) - $75,000 (COGS) + $14,000 (money received from company Y) = $44,000

company Y's income = $91,000 (selling price) - $65,000 (COGS) - $14,000 (money given to company X) = $12,000

This exchange resulted in company X's income increasing by $14,000, while company Y's income decreased by $14,000

6 0

3 years ago

Which costs will change with a decrease in activity within the relevant range? Select one:

Harman [31]

Answer:

The correct answer is option b.

Explanation:

The fixed costs refer to that part of the cost of production which is not affected by the volume of activity. The total fixed cost remains constant in the entire production process.

The fixed cost per unit is the ratio of total fixed costs and the level of output. It increases with a decrease in level of activity.

The variable cost is the cost incurred on the variable inputs employed in the process of production. As the level of activity declines the number of variable factors employed will also decline. This will cause the total variable cost to decrease.

6 0

3 years ago

The determination of whether one is an independent contractor may include the following considerations except: a. How the person

Tamiku [17]

Answer:

d. The determination of the principal.

Explanation:

An independent contractor is one who is not bound by any affiliations to either a company, a country or an ideology.

He is hired to do a specific work and based on his contract, paid after, before or during the work.

The determination of the principal in no way affects his work as he isn't bound to the company as an employee and is a free agent. He is a professional who is not slack in his work and works efficiently to earn his pay

4 0

3 years ago

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