All categories

4 years ago

Difference between uninsurable and insurable risks

2 answers:

6 0

Uninsurable risk : The risk cannot be estimated and not probable to forsee

Example : You cannot insure you losing or winning the lottery

Insurable Risk : If the risk is can be estimated and probable to forsee

Example : A football player insure their legs from potential injury

hope this helps

Pavel [41]4 years ago

6 0

Difference between uninsurable and insurable risks

Answer: The difference is the following: a risk is uninsurable when the insurance company cannot calculate the probability of the risk. On the other hand a risk is insurable if the insurance company has enough statistics to work out the probability of the risk.

I hope it helps, Regards.

You might be interested in

Choose one possible revision suggestion for the previous follow-up letter.

Cloud [144]

Second one! sound professional!

7 0

3 years ago

Explain five reasons that may cause a company to redeem its own shares

pochemuha

- Companies buyback shares for a variety of reasons, including firm consolidation, increased equity value, and to appear more financially appealing.

-The disadvantage of buybacks is that they are frequently financed with debt, putting a burden on cash flow.

-Stock repurchases can have a modestly favorable impact on the economy as a whole.

4 0

2 years ago

Bob Clarke Corporation has provided the following data from its activity-based costing system: Activities Estimated Overhead Cos

AfilCa [17]

Answer:

Total Unit Cost= $ 96.65

Explanation:

Bob Clarke Corporation

Activities Estimated Overhead Cost Expected Activity

Assembly $1,005,040 68,000 machine-hours

Processing orders $102,500 2,000 orders

Inspection $139,840 1,900 inspection-hours

First we find the overhead rates using ABC costing method.

Overhead Rates= Estimated Overhead Cost/ Expected Activity

Assembly Rate= $1,005,040 /68,000 = $ 14.78 per machine-hours

Processing rate= $102,500 / 2,000= $ 51.25 per orders

Inspection Rate= $139,840/ 1,900= $ 73.6 per inspection-hours

Then we find the overhead costs applying the ABC Costing rates

Overhead Costs Of 450 Hockey

Assembly= 710 machine-hours, * $ 14.78= $10493.8

Processing=42 orders, *$ 51.25= $ 2152.5

Inspection= 12 inspection-hours*$ 73.6 = $ 883.2

Total Overhead Costs of 450 Hockey = $ 13529.5

Overhead Cost of One Hockey= 13529.5/450= 30.065= $ 30.07

Then the:

Product Cost

Direct materials cost is $36.42 per hockey stick

Direct labor cost is $30.16 per hockey stick

Overhead Costs is $ 30.07

Total Unit Cost= $ 96.65

7 0

3 years ago

"Tina withdraws $20,000 from her money market account to start up her own house cleaning business. Over that time, the account w

lions [1.4K]

Answer: the opportunity cost of $600

Explanation:

From the question, we are informed that Tina withdraws $20,000 from her money market account to start up her own house cleaning business and that over that time, the account would have earned 3 percent interest.

In order to properly account for all costs of her business, Tina must not forget the opportunity cost of $600. This is calculated as 3% of $20,000.

The opportunity cost is what Time had to forgoes in order to start her business.

7 0

3 years ago

Eddy Jones Pottery produces serving bowls among other items. If they reengineer their automated equipment, a serving bowl can be

Ganezh [65]

Answer and Explanation:

Old equipment=2.5 mins per serving bowl

New equipment=1.5 mins per serving bowl

With old equipment, in one hour Eddy Jones can produce 60/2.5= 24 serving bowls

With new equipment, in one hour Eddy Jones can produce 60/1.5= 40 serving bowls

With old equipment, in 8 hours Eddy Jones can produce 24*8=192 serving bowls

With new equipment, in 8 hours Eddy Jones can produce 40*8=320 serving bowls

Therefore in 8 hours with new equipment Eddy Jones will produce 320-192= 128 more serving bowls than with old equipment.

5 0

3 years ago